1. US Markets and Concepts Dr. Neidermeyer

2. Investment Considerations  Return(s)  Risk(s)  Portfolio Structure

3. Investment Returns  Income  Capital Appreciation  Combination

4. Investment Risk(s)  Financial  Market  Interest rate  Purchasing power

5. Portfolio Structure  Diversification!

6. Market types  Primary  Secondary

7. Primary Market  Purchase of the security of interest is made directly from the issuer.  This source is of limited availability to ordinary investors. Primary purchaser is the investment banking firm which in turn resells the securities to us.

8. Secondary Market  This is the arena in which you and I do business. Securities are free-traded among investors seeking to buy or sell.

9. Buying and Selling Securities  Among individuals  Through brokers  Through mutual fund offices  Through money managers  Through company transfer agents

10. Investing Lessons Learned  Cannot predict the market  Don’t obsess over market performance  Pay attention to recent stock/fund/bond performances  “This time is NOT different”  Be “tax wise”  Maximize retirement contributions  Bond is NOT a four- letter word  Be good at buying and selling  Know when to let go  Have future perspectives  Retirees need “growth”