1. PERSONAL SAVINGS AND INVESTMENT
ELEMENT #46

2. Why personal savings and investment?
Helps achieve financial goals:
Emergency savings fund
Down payment on home
Buying cars
Large purchases
Retirement funds
College funds
Letting money make money

3. Different options for savings/investing
Savings account
Certificate of Deposits
Bonds
Stocks
Mutual Funds

4. Personal Saving Accounts
Helps reach short- and long-term financial goals
Easy to withdraw/deposit money
Really low interests rates – not going to “make” money

5. Certificate of Deposits (CD)
An agreement between an individual and a bank for the individual to keep funds in account without touching the funds
Higher interest rate than savings account
Money is locked up for an extended period of time
Early withdrawal penalties

6. Bonds
When companies/government need money, they sell bonds to individuals.
When an individual buys a bond, the individual becomes the lender.
Government bonds have lower interest rates.
Low-risk, return depends on company/government paying off debt

7. Stocks
When buying stock, the purchaser takes an ownership stake in a company.
Costs money to buy stock and sell stock (brokerage fees)
High risk for high-return, low risk for low-return

8. Mutual Funds
Actively managed basket of stocks, bonds, and other securities.
Portfolio managers actively invest your funds
Lower risk than individual stocks.

9. Resources Command Financial Specialist Fleet and Family Support Center
Save and Invest -
Military Money -
Stash Invest -
Navy Marine Corps Relief Society – https//