California Future Business Leaders of America

Your Future Is Our Business

SECURITIES & INVESTMENTS

  • Category: Objective Test 
    Type: Individual 

    ELIGIBILITY: The participant may not have previously competed in this event at the national level.

    SECTION
    : Each local chapter may inter three (3) members. (refer to Objective Test Guidelines for more information on number of competitors)
    STATE: A maximum of the top six (6) places from the section competition will represent their section at the State Leadership Conference.
    NATIONAL: The top four(4) places in the state competition will represent California at the National Leadership Conference. NOTE: Some SLC top-10 finalists will become eligible for the national conference as a result of drops. Make sure you get early approval from your parents to attend the National Conference so you will be in a position to say "yes" to your adviser if you are "bumped up".

    Overview: 60-minute test administered during the Conference.

    Objective Test Competencies: Investment Fundamentals; Investment Wrappers, Taxation, and Trusts; Investment Product & Funds; Stock Market; Stock versus Other Investments; Mutual Funds; Basics of Bonds; Derivatives; Financial Services Regulation

    Skills:  Acquiring a high level of familiarization and knowledge of securities and investing is valuable in planning for one’s future. This event provides recognition for FBLA members who have an understanding of securities and investments.

    GUIDELINES: (It is highly recommended that competitors read all guidelines)
    Objective Test
    General (All Events)
    General Competitive Events Tips
    Objective Event Tips

    PREPARATION: 

    Sample Practice Materials
    Sample Practice PDF #1
    Format Guide
    Format Guide PDF

    Website Resources
    Investor.gov
    InvestorPlace
    U.S. Securites and Exchange Commissio
    FBLA Financial Literacy Initiative
    Competencies:
    Tasks
    Investment Fundamentals
    1. Terminology.
    2. Savings.
    3. Stages of investing and relationship between risk and return.
    4. Sources of financial information to make investment decisions.
    Investment Wrappers, Taxation, and Trusts
    1. Individual savings accounts.
    2. Pensions.
    3. Tax.
    4. Investment bonds.
    Investment Product & Funds
    1. Loans.
    2. Mortgages.
    3. Life assurance.
    4. Unit trusts.
    5. Opened ended investment companies.
    6. Pricing, dealing, and settlement.
    7. Investment trusts.
    8. Hedge funds.
    Stock Market
    1. Explain how stock market benefits investors and companies.
    2. Read stock tables for investment related information.
    3. Options for handling accumulated money/earnings.
    4. Types of investments.
    5. Primary vs secondary markets.
    6. Bull, bear, and pig markets.
    Stock versus Other Investments
    1. Compounding.
    2. Purpose of company.
    3. Describe ethical behavior in support center.
    4. Gathering relevant information.
    5. Financial statements.
    6. Terminology.
    Mutual Funds
    1. Understanding total return.
    2. Mutual funds and taxes.
    3. Purchasing mutual funds.
    4. Investment in mutual funds.
    5. Fund costs.
    Basics of Bonds
    1. Bond duration.
    2. Buying bonds.
    3. Process of issuing bonds.
    4. Roles of collateral.
    5. Secured and unsecured bonds.
    6. Introduction to government bonds.
    7. U.S. government agency bonds and savings bonds.
    Derivatives
    1. Futures.
    2. Options.
    3. SWAPS.
    4. Derivative uses.
    Financial Services Regulation
    1. Financial Services & Markets Act.
    2. Financial Crime.
    3. Insider dealing and market abuse.
    4. Data Protection Act 1998.
    5. Breaches, complaints, and compensation.

    Alignment

    NBEA Standards
    • Accounting
    • Communication
    Career Clusters
    • Finance
     
     
     
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