GP Flashcards
(7 cards)
7 Steps Financial Planning
“Uber Is A Drunk Persons Immediate Mode…of transportation”
Understand current situations
Identify and select goals
Analyze current course and alts
Develop recs
Present
Implement
Monitor progress
Securities act of 1933 and 1934
1933 came first, so it regulates new issues and IPOs
1934 is second, so it regulates secondary market and created the SEC
Investment Advisor Definition
ABCs
A— advice
B— business
C— compensation
Exceptions to filing as an investment advisor
TABLE
T— teacher
A— accountant
B— banks
L— lawyers
E— engineer
Student Loans
Wealthy parents are a PLUS
Poorish— under $70k
— Pell grant
— supp education opportunity grant
— subsidized Stanford loans
Monetary Policy— the Fed
DORM is BEST
Discount rate (increase tighten, decrease ease)
Open market operations
- buy to expand/ease
- sell to tighten
Reserve requirements (increase tighten, decrease ease)
Margin (increase tighten, decrease ease)
Yield Curves
UPS
- if rates go UP, shorten durations
FALLEN
- if rates fall, lengthen duration
