Choosing the Right Security Investments
CHOOSING THE RIGHT SECURITY INVESTMENTS Page 1
Choosing the Right Security Investments and Awareness of All Available Options
CHOOSING THE RIGHT SECURITY INVESTMENTS Page 2
Subject: Information of the different categories of security investments and the way of figuring out what security investment is right for you.
1) What kind of questions you must ask yourself before finalizing your decision of investing in a security?
You must know why you are investing in the security, and in this memo, I will give you a bit of insight on how to figure that out; and tell you what some of the most important questions that you should ask yourself are.
2) What the three categories of security investments are, and what options fall under each?
Many people hear the words “investment securities” and immediately think banks and bonds. However there are three different categories and beneath each are many different options and ways of investing in securities. I will explain these to you in this memo, and having this knowledge will open your eyes to these options, which will ultimately give you and your company the advantage over others.
3) How does each different investment security work, what are the positives and negatives of each, and what investments are better for what kinds of companies?
Once I explain all of the different options for investing securities, the next question in an investors mind is, which one will work best for me? Which option
CHOOSING THE RIGHT SECURITY INVESTMENTS Page 3 will give me the most output for what I put in? And what risks are possibly incurred with the option I am contemplating? These are all very important aspects to comprehend prior to making any major decision and I hope to give you advice on being able to not only answer these questions yourself based off of your own individual company’s needs and goals, but also to give you the ability to make these decisions in future events as well.
You
Choosing the Right Security Investments and Awareness of All Available Options
CHOOSING THE RIGHT SECURITY INVESTMENTS Page 2
Subject: Information of the different categories of security investments and the way of figuring out what security investment is right for you.
1) What kind of questions you must ask yourself before finalizing your decision of investing in a security?
You must know why you are investing in the security, and in this memo, I will give you a bit of insight on how to figure that out; and tell you what some of the most important questions that you should ask yourself are.
2) What the three categories of security investments are, and what options fall under each?
Many people hear the words “investment securities” and immediately think banks and bonds. However there are three different categories and beneath each are many different options and ways of investing in securities. I will explain these to you in this memo, and having this knowledge will open your eyes to these options, which will ultimately give you and your company the advantage over others.
3) How does each different investment security work, what are the positives and negatives of each, and what investments are better for what kinds of companies?
Once I explain all of the different options for investing securities, the next question in an investors mind is, which one will work best for me? Which option
CHOOSING THE RIGHT SECURITY INVESTMENTS Page 3 will give me the most output for what I put in? And what risks are possibly incurred with the option I am contemplating? These are all very important aspects to comprehend prior to making any major decision and I hope to give you advice on being able to not only answer these questions yourself based off of your own individual company’s needs and goals, but also to give you the ability to make these decisions in future events as well.
You
References: Amadeo, K. (n.d.). Retrieved from http://useconomy.about.com/od/glossary/g/securities.htm Laster, D., & Raturi, M. (2002, Spring). What drives financial innovation in the insurance industry? Journal of Risk Finance, 3(3), 36+. Retrieved from http://go.galegroup.com.prx-keiser.lirn.net/ps/i.do?id=GALE%7CA87567875&v=2.1&u=lirn99776&it=r&p=AONE&sw=w Watkins, T. (n.d.). Retrieved from http://www.sjsu.edu/faculty/watkins/deriv.htm Wild J., J., Shaw W., K., & Chiappetta, B. (2011). Fundamental accounting principles. In I. I. Robert D. (Ed.), Fundamental Accounting Principles (20 ed., pp. 552-604). New Jersey : McGraw Hill, Inc.