Reference no: EM132512499 , Length: 5 Pages

Final Project - Investing

Discuss the factors affecting the choice of investments.

Assignment Instructions:

Part I: Investing Behavior:

What are the various types of investors? Complete the interactive investor profile questionnaire. According to this instrument, what kinds of investments should you consider?

Write an introduction to your essay that provides a profile for yourself as an investor. What else can you find out about investing behavior--for example, does your profile change over time as you age or does it remain the same? How would your profile assist you and your financial advisor or investment advisor in planning your portfolio?

You have a BELOW-AVERAGE tolerance for risk.

Disclaimer

You now have an investment risk tolerance score based on the survey created by John Grable and Ruth Lytton and published in the Financial Services Review. This score is intended for and must be used for information and illustrative purposes only. It is not, and should not be regarded as "investment advice" or as a "recommendation" regarding a course of action, including without limitation as those terms are used in any applicable law or regulation. This information is provided with the understanding that with respect to the material provided herein (i) The Curators of the University of Missouri are not acting in a fiduciary or advisory capacity under any contract with you, or any applicable law or regulation, (ii) that you will make your own independent decision with respect to any course of action in connection herewith, as to whether such course of action is appropriate or proper based on your own judgment and your specific circumstances and objectives, and (iii) that you are capable of understanding and assessing the merits of a course of action and evaluating investment risks independently. You should consult your advisors with respect to score presented herein. You may not rely on the material contained herein. The Curators of the University of Missouri shall not have any liability for any damages of any kind whatsoever relating to this material. This material is being provided to you at no cost.

Part II: Recognizing Fraud

What is a pyramid scheme exactly? Have you ever participated in or invested in such a scheme? Have you ever been a victim of one? Research and discuss this topic in this part of your project. According to research, why can it be difficult to detect a pyramid scheme? What are some possible tip-offs to this kind of fraud? Why are pyramid schemes unsustainable? Who are the victims? Provide a diagram illustrating the dynamics of pyramid schemes.

Part III: Famous Scandals

Survey the Web site of a 2009 60 Minutes CBS broadcast on the Madoff affair, which includes articles, video, and links. According to this site, who discovered the Madoff fraud and how? Who were Madoff's victims? Visit the support group Web site created for the victims. In the CBS video, how did Madoff defend himself? Read a Read a Journal article at the following Hyperlink that explains how Madoff's Ponzi scheme was able to succeed. How did investor biases contribute to this success?

How did biases in regulatory oversight contribute to the fraud? Sample some of the videos of the congressional hearings on the Madoff scandal. Why did representatives and senators focus their criticism on the Securities and Exchange Commission?

Use the template provided. Follow APA format, including a title page, introduction, conclusion, citations, and five scholarly references (not Wikipedia or Investopedia).

Attachment:- Assignment File - Final Project.rar