Investing 101

Course Description

This course is developed and delivered in conjunction with the Alberta Securities Commission (ASC). Investing can be a complicated and sometimes overwhelming process. The key is to understand the risks and to make an investment decision that makes sense for you. If you are an investor or are thinking about investing, this plain-language, non-promotional course provides you with an overview of investing. Gain basic knowledge to make a well-informed decision when you are presented with an investment opportunity. Topics include: an overview of the stock market, investing and compound interest, types of investments, financial planning and advisors, fees and charges, risk and return, tax considerations, investment scams, and protecting your money.

Participant Outcomes

Upon successful completion of this course, you will be able to:

• Understand how investing works and some of its basic elements
• Differentiate between investment options, like equities and mutual funds, and understand how the value of investments change
• Navigate the basics of the stock market
• Gather the necessary inputs for financial planning and identify suitable investments
• Incorporate tax considerations and know the implications for certain investments and investment accounts
• Better identify common forms of investment fraud and ways to help protect your investments
• Implement planning for your children's future and ideas for developing their financial literacy
• Utilize additional resources for reference and future learning

Course Content

1. Investing

• What is investing?
• Investing versus saving
• Investment options

2. Diversification

• Why you should diversify
• Examples of ways to diversify

3. Compound Interest

• Working to increase savings
• Working against you
• The power of compound interest
• Power of compounding with an investing case study

4. The Stock Market

• The primary market
• The secondary market
• Understanding and researching the market
• Reading stock quotes

5. Financial Planning

• Preparing for your plan

6. Risk

• Types of risk
• Risk and return
• Understanding your tolerance for risk
• Fraud alert – identifying

7. How Will You invest?

• DIY investing
• Choosing a professional
• Robo-advisors
• Understanding fees

8. Tax Considerations

• Registered Retirement Savings Plans (RRSPs)
• Tax-Free Savings Accounts (TFSAs)

9. Kids & Money

• Registered Education Savings Plan (RESP)
• Registered Disability Savings Plan (RDSP)
• Financial literacy for children