Day 55

Lesson Objectives

• Explain how investing builds wealth and helps meet financial goals.
• Examine the relationship between diversification and risk.
• Identify regulatory agencies and their functions.

Assignment 8.1.4

1. Watch Video 1.2
2. Record the missing words from pages 165-167 of the textbook as they pop up on the left side of the video screen by filling in this form.  (pages 165-167) .
3. Discussion Questions:
   1. Explain how diversification helps to protect your wealth.
   2. Explain what risk-return ratio is.
   3. Explain what the liquidity of an asset refers to.

Assignment 8.1.5

1. In your Personal Finance Journal-C8 file in your Chapter 8 folder, complete the next row in the table by answering the question listed.