Investments and Financial Literacy

What does RESP stand for?

• Registered Education Savings Plan

• Registered Enrichment Standard Practices

• Remote Education Savings Program

• Ridculous Envious Silly Program

What kind of interest rate would you expect to earn in a standard Chequing Account.

• 3% to 5%

• Anywhere up to 10%

• 1% to 2%

• Almost no interest at all.

What kind of benefits are available in most Chequing Accounts?

• The use of a debit card.

• The ability to pay bills.

• The use of the ATM to access the account.

• All of these are true.

What is the advantage of investing in a GIC?

• A guaranteed interest rate which is USUALLY higher than a savings account.

• Interest rates up to 15%

• The government matches your contributions.

• This money is always kept in a safety deposit box.

Which of the following is an ADVANTAGE of buying mutual funds.

• You pay a fund manager a salary to manage the fund.

• They can earn a higher rate of interest than a guaranteed investment.

• Their value can be volatile.

• They often require a minimum investment amount.

Which type of investment might be earning a rate between 4% to 7% right now?

• Savings Account

• GIC

• Mutual Funds

• Credit Cards

Crypto-currency is a way to make a puchase where the amount of a particular currency you own is recorded...

• On your phone

• At your local bank

• On the bitcoin website

• On a shared network of thousands of computers all across the world.

How many different crypto-currencies are currently available in the world.

• Just Bitcoin

• Only 2 different currencies

• Exactly 5, one in each continent.

• Hundreds and thousands of different currencies.

While the value of Bitcoin has been growing rapidly over the past few years, which of the following statements is true...

• The value of Bitcoin can only go up, it can't go down.

• Cryptocurrencies are tied to the american dollar.

• This is still VERY RISKY investment.

• The value of Bitcoin is now very stable.

What is the MAJOR ADVANTAGE of creating a RESP.

• It automatically earns an higher interest rate.

• You don't pay tax on money you put in, just like an RRSP.

• When you take out the money, it is TAX FREE.

• The government matches up to 20% of your deposits to encourage parents to save.