1 / 12

Team 7 Personal Investment

Team 7 Personal Investment. Michael Dellosa Andrew Nimrod. Objectives. Scenario Stocks Roth IRA Summary & Assumptions References. Scenario.

brick
Download Presentation

Team 7 Personal Investment

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Team 7 Personal Investment Michael Dellosa Andrew Nimrod

  2. Objectives • Scenario • Stocks • Roth IRA • Summary & Assumptions • References

  3. Scenario • You are a 23 year old college graduate that has just started a job paying $55,000 dollars a year and want to invest 10% of your yearly salary in the market ,but is not sure on which route to go. So you decide to look at investing your money into stocks or a Roth IRA for a 10 year period in hopes that you will be able to make enough for a nice down payment on a house.

  4. www.investopedia.com Stocks • Basics • A stock is a share in the ownership of a company. • Stock represents a claim on the company's assets and earnings. • Investment in stocks has historically had an average return of around 10%-12% • Two types of stock common and preferred

  5. Stock Analysis

  6. Stock Sensitivity

  7. Stock Sensitivity Cont.

  8. Roth IRA • Roth IRA Basics • Can invest up to $4000 a year by using an after tax paycheck • Collect tax free compound interest on growth on whatever you decide to invest in • Limitation in this project • First 5 years contributions will not be penalized, but the last 5 years will be penalized 10%

  9. Roth IRA Analysis

  10. Roth IRA Sensitivity

  11. Summary Assumptions • Market value always went up • Constant salary increase • Same employer for the 10 yr. period

  12. References • www.investopedia.com • http://www.fool.com/money/allaboutiras/allaboutiras12.htm • http://personal.fidelity.com/products/retirement/getstart/aboutira.shtml.cvsr?banner=12493134&immid=00045&psite=google&crtype=search&kw=Roth_IRA • http://www.dinkytown.net/java/RothIRA.html

More Related