Describe sources of securities information

• A financial instrument that represents: an ownership position in a publicly-traded corporation (stock), a creditor relationship with governmental body or a corporation (bond), or rights to ownership as represented by an option. A security is a fungible, negotiable financial instrument that represents some type of financial value. The company or entity that issues the security is known as the issuer

Consumer Financial Literacy Survey

• According to the 2014 Consumer Financial Literacy Survey, prepared by Harris Poll, which surveyed 2,016 adults over age 18, nearly 40 percent of adults give themselves a grade of C, D or F on their knowledge of personal finance and a vast majority (73 percent) agree they could benefit from professional advice for everyday financial decisions. This tells us there is a real need for straightforward research products that support everyday investors, as they work to understand the markets and make decisions that may help them reach their goals

Securities

In today’s world of information overload, we can access reams of data and information on every topic under the sun. Consumers can crowd source facts and opinions to help make almost every decision, such as where to go on vacation, picking which doctor to use or finding the "hottest" security on the market. But when it comes to investing, having an abundance of information may actually be detrimental to an investor’s abilities

Strengths, Weaknesses, Opportunities, and Threats that are strategic factors for a specific company

Tips that may simplify your search for the right tools and information as you plan your financial future.

• Understand the basics - Identifying the right securities to invest in should entail more than picking the brand you love or the product that’s getting the most buzz in the media. Take time to review and select the securities you believe will help reach your goals. And before investing, review and understand the following key performance indicators:

Tips that may simplify your search for the right tools and information as you plan your financial future

• Public financial statements. Any quarterly or annual Securities and Exchange Commission filings contain a host of information about how a company has been performing, along with performance expectations for the future. Although these documents are often chock-full of information, it can sometimes be buried deep in a filing. You may want to supplement your review of these filings with reports by analysts who have a good track record for examining financials or a news service you think does a good job of drilling down to find more obscure information.

Tips that may simplify your search for the right tools and information as you plan your financial future

• Comparative performance. Many investors want to know how a company ranks in terms of its competitors. ShareBuilder’s tools, such as Investment Screeners and Compare Investments, offer a number of ways for you to assess companies, mutual funds or exchange-traded funds, using metrics that include the key statistics we discussed earlier

Tips that may simplify your search for the right tools and information as you plan your financial future

• Draw your own conclusions to support your strategy. There are many ways an investor can use research tools to make more informed investing decisions. Taking a look at a company’s analyst rankings and reviewing company news can provide additional background on your potential investment. Although the whole story isn’t in how an individual analyst ranks a company, or in the company’s own reports, being able to digest all of this information and arrive at your own conclusions may help you become a more informed and confident investor

Tips that may simplify your search for the right tools and information as you plan your financial future

• To avoid becoming overwhelmed, use a trusted investing hub to help centralize your research, and keep track of analysis, news and market data. This may offer you a manageable way to make informed investment decisions without having to spend hours digging through piles of information. Establishing trusted resources and finding reliable tools may help you feel empowered as you build out your investing strategy.

External Sources of Corporate Information • Investment research firms• Analysts, • Newspapers • Magazines

Identify internal sources of corporate information

• SEC filings• Company Website• Edgar Website

Performance Activity

• Ask each student to search the Internet to find these three items about one of their companies in the portfolio:• The company’s annual report, usually available from the company’s

web site under “about us,” “investors,” or “investor relations.”• At least 3 recent news article (within the last month if possible) about

the company or the stock’s performance.

Performance Activity Cont.

Students do not need to print out these sources, but they should review the information in each resource and answer these questions:1. What are the advantages or disadvantages of each resource?2. Which resource provides the most helpful securities information3. Write a summary about the 3 recent news articles about the companies stock prices.