BU413 Study Guide - Midterm Guide: Punitive Damages, Co-Insurance, European Cooperation In Science And Technology
Document Summary
Should be specific, measurable, attainable, realistic, and time framed (smart) Financial planning process (canadian institute of financial planning: establish financial objectives, gather, process & analyze relevant information, develop a financial plan, implement the plan, monitor plan & update as needed rules) Strategies that will help achieve the objectives. Based on assumptions of inflation, asset growth and future taxes. Annually or when significant changes occur (births/deaths/unemployment/new tax. Financial planning hierarchy: build a supporting foundation, investment in secure instruments, gradually take greater risks, avoid risk investments until secure at lower levels. High quality stocks and bonds, income producing real estate. 20s-30s, priorities: savings, educational savings, first home, life/disability insurance. Living expenses lower and covered from retirement assets and investments. Life expectancy has increased over the years; women have longer life expectancies. The family life cycle: early career phase, mid-career phase, peak-accumulation phase, pre-retirement phase, retirement phase. Late 30s-40s, two working spouses with more income, children. Late 40s-50s, income growing, expenses have declined.
