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Investments

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Here's how Investments aligns with curriculum standards in Connecticut. Use the filters to change the location, set of standards, and grade level.

Financial Literacy Standards

9.3: Investing

12.2: Investors earn investment returns from price changes and annual cash flows (such as interest, dividends or rent). The nominal annual rate of return is the annual total dollar benefit as a percentage of the beginning price.

Standards
Defined by Standards for Personal Finance: NGPF 9th-12th Grades and align with Investments
12.2.a: Describe the different types of annual cash flows that can be received by investors.

12.3: Investors expect to earn higher rates of return when they invest in riskier assets.

Standards
Defined by Standards for Personal Finance: NGPF 9th-12th Grades and align with Investments
12.3.b: Investigate the long-run average rates of returns on small-company stocks, large-company stocks, corporate bonds, and Treasury bonds.
12.3.c: Explain why the expected rate of return on a value stock or mutual fund is likely to be lower than that of a growth stock or mutual fund.
12.3.d: Explain why bonds with longer maturities generally earn a higher return than shorter-term bonds.

12.6: When making diversification and asset allocation decisions, investors consider their risk tolerance, goals, and investing time horizon.

Standards
Defined by Standards for Personal Finance: NGPF 9th-12th Grades and align with Investments
12.6.b: Discuss the pros and cons of investing in a diversified mutual fund versus investing in a small number of individual stocks.

12.7: Expenses of buying, selling, and holding financial assets decrease the rate of return from an investment.

Standards
Defined by Standards for Personal Finance: NGPF 9th-12th Grades and align with Investments
12.7.c: Explain why an actively managed mutual fund usually has a higher expense ratio than an index fund.

12.13: Investors often compare the performance of their investments against a benchmark, such as a diversified stock or bond index.

Standards
Defined by Standards for Personal Finance: NGPF 9th-12th Grades and align with Investments
12.13.c: Discuss the advantages of investing in an exchange-traded fund (ETF) that tracks a market index rather than investing in actively managed mutual funds or individual stocks and bonds.