Unit 6 - Financial Planning & Making Informed Choices

Which are types of financial product

• Risk

• Spending & lifestyle

• Product porfolio

• Insurance

Which are types of financial product

• Borrowing

• Spending & lifestyle

• Product porfolio

• Risk

Which are types of financial product

• Accumulating wealth

• Spending & lifestyle

• Savings & investments

• Risk

The 'Spectrum of Willingness' is......

• The amount of willingness a person has towards a savings product

• A description of the ranges of peoples' approaches to risk

• How frequently an individual will take a risk

• How infrequently an individual will take a risk

An example of a 'Life Event' is

• Having any type of sandwich you want

• Saving up to buy a car

• Being hit by a car

• An event that influences your decision to go to University

An example of a 'Life Event' is

• Taking out a loan to buy a car

• Having the choice of when to start school

• Being hit by a car

• Breaking your arm

Making informed choices about financial planning involves....

• Always betting on black at the Roulette wheel

• Making difficult choices

• Simplifying choices

• Differentiating between wants and needs

People can only buy one type of financial product at a time (ie one saving, one insurance and one loan at a time)

• False

• True

People can mix and add types of financial product at any time to suit their financial plan

• False

• True

If you borrow money to buy a car - and then take out an insurance product for it - this is known as

• Competitive Demand

• Twinned solution planning

• Joint Demand

• Demand mix