Financial Literacy Course: Finding Your Way in the Financial Markets. The financial markets create tremendous opportunities that would otherwise be out of reach for many of us. A new home, your child’s college education, retirement. Without the ability to borrow and invest, life as we know it simply would not exist. Taking full advantage of all that the markets have to offer requires not only familiarity with its unique tools, practices, and risks, but also an understanding of the ways in which the financial world and your life are intertwined in direct and indirect ways. Implicit, visceral, and intangibly related. But with a record-breaking economy one minute and an economic rock bottom the next—not to mention arcane rules and obscure jargon—there seems to be no way to feel truly comfortable in this mysterious world. But it does exist, and it’s more accessible than you might think.
Financial Literacy: Finding Your Way in the Financial Markets is a basic primer, from your actions, strengths and abilities to your weaknesses and vulnerabilities in this area. In 24 simple but compelling lectures, award-winning Duke University professor Kennell Vollenkamp shows the interconnected workings of the financial markets and how the financial strength of society – and yours – depends on moving money through these channels. You’ll not only gain a new appreciation for the variety of financial products and services available to you, but you’ll also see clearly our vital importance as individuals in the workings of the whole system and how these markets affect you – and vice versa.
- Car Financing
- mortgage application;
- Receive pre-approved credit card offers;
- Participate in your company’s 401K plan; or
- Deposit at your local bank
Introductory in nature, but by no means taught at a superficial level, this course provides the concepts and tools you need to make the direct connection between headlines published globally and what is local to your point of origin. It happens, you need it. By the final lecture you will realize how interdependent the world’s markets have become. Feel comfortable with stocks, bonds, mutual funds, derivatives, and credit. And you can make better-informed decisions for your financial future. Learn the rules of the game In the opinion of many of us, financial markets play by their own rules, and these rules mean nothing. For example, when the unemployment rate rises, the stock market sometimes rises with it. In short selling, an asset is sold before it is bought. And in the high-risk world of mergers and acquisitions, financial transactions are routinely made “on paper,” and large companies are bought and sold without the exchange of money. How is that possible? Assuming no prior experience in finance, Financial Literacy unravels these and other puzzles as it takes you through the fascinating history of banking, starting with the treasures of medieval goldsmiths, and traces the workings of the instruments and institutions that make up the system. Connecting the precise points at each stage, Professor Vollenkamp unravels the industry jargon and explains how businesses, governments and most households put money into the market, showing that it is our money that flows through this labyrinthine network that makes it a system. You begin this course with an overview of the six essential functions that financial markets perform for society and how each financial transaction or product attempts to perform at least one function. You will examine how markets work
- Moving resources in time and space allows you to purchase a home without having to put down the entire purchase price.
- Pooling resources and sharing ownership, enabling investors to jointly make loans to governments and buy into companies.
- Discover financial prices, which can have serious consequences if the asset is not priced at the proper level.
- Addressing information problems, thereby reducing risks associated with a lack of reliable information about borrowers;
- It clears and settles payments, allowing us to easily purchase items anywhere in the world. And
- Manage risks by providing a safety net with products such as insurance.
Plus, you’ll learn the answers to questions you’ve probably wondered about, from why hedge funds are allowed to circumvent SEC regulations, to the letter grades used by Standard & Poor’s and other credit rating agencies. What does it really mean?
- How is your credit score calculated?
- What information do lenders consider when applying for a loan?
- Why do some stocks pay dividends while others don’t?
- What happens to your mortgage after you sign on the dotted line?
- How do exchange rates work and how do they affect international investing?
Become a Smarter Financial Consumer: Financial Literacy provides a solid foundation for potential investors and those who have been involved in the field for years without understanding how everything fits into the big picture. You’ll understand how stocks are introduced to the market. How does the U.S. dollar leave the country? And how market regulation actually protects healthy competition. Plus, background on Fannie Mae, Freddie Mac, and mortgage-backed securities is included, as well as lots of practical information.
- how to calculate loan amortization payments;
- Why are index funds often a great choice for investors? And
- How to read a company’s balance sheet and profit and loss statement
In addition, the lectures provide a rare opportunity to look inside hedge funds and the currency market – an area that is usually closed to the average investor – as well as the wars that ensue between government-appointed “referees.” You’ll also see how technology and recent economic crises are changing the rules around the world. In the second part of the course, you’ll examine which key economic indicators have the greatest impact on the markets, including those of central banks like the Federal Reserve. Although you may regularly hear about this mysterious creature in the media, you may not be fully aware of the impact of the Federal Reserve’s monetary policy on inflation, bank lending, and interest rates. But you will be after completing this course.
Objective information from a sought-after expert: You could work the entire financial department of a bookstore or spend hours on paid cable TV, but you’ll never find a better source for solid, reliable, and unbiased information like this. As a skilled instructor and IMF consultant, Professor Follenkamp delivers each practical lecture in an engaging and engaging way, so you’ll not only understand the material, but be equally excited about it. Add an excellent instructor’s guide to the many charts, animations, and explanatory graphics presented in video formats, and Financial Literacy: Finding Your Way in the Financial Markets offers an unparalleled learning experience. You won’t find a more valuable investment in financial mental development than this.