Republic of the Philippines
MAILA ROSARIO COLLEGE
Diversion Road, San Gabriel Village, Tuguegarao City, Cagayan Valley
Contact No. (078) 377 – 249
COLLEGE OF BUSINESS ADMINISTRATION
MAJOR IN FINANCIAL MANAGEMENT
1st SEMESTER, S.Y. 2021 – 2022
PRELIM COVERAGE
Module in
INVESTMENT AND PORTFOLIO MANAGEMENT
MODULE NO.: 01
NAME OF STUDENT: ___________________________________________________
YEAR / SECTION: ______________________________________________________
DATE RECEIVED: ______________________________________________________
INSTRUCTOR: ELEINE T. ALVAREZ
NOTE: Please be cautious in following the given instructions in each activity. Correspondingly, observe
punctuality in accomplishing this module. God bless and happy learning! – INSTRUCTOR
Republic of the Philippines
MAILA ROSARIO COLLEGE
Diversion Road, San Gabriel Village, Tuguegarao City, Cagayan Valley
Contact No. (078) 377 – 249
I. OVERVIEW
This module focus is to develop analytical and evaluating skills connected to context
and content about investment and portfolio management categories, and objectives.
II. LEARNING OBJECTIVES
In this learning module, the learner is expected to:
a. Demonstrate knowledge of what is meant by investment and portfolio
management
b. Understand the concept, categories and objectives of investment and portfolio
management
III. GUIDE QUESTIONS
1.What does investment mean?
2. What are the objectives of investment?
3. Why did you choose Maila Rosario College to invest your study?
IV. LESSON PROPER
INVESTMENT
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Republic of the Philippines
MAILA ROSARIO COLLEGE
Diversion Road, San Gabriel Village, Tuguegarao City, Cagayan Valley
Contact No. (078) 377 – 249
An investment is essentially an asset that is created with the intention
of allowing money to grow.
In terms of income, if you invest in a saleable asset, you may earn
income by way of profit.
Second, if Investment is made in a return generating plan, then you will
earn an income via accumulation of gains.
All about putting your savings into assets or objects that become worth
more than their initial worth or those that will help produce an income
with time
Investment means an asset that is obtained with the intention of
allowing it to appreciate in value over time.
CATEGORIES OF INVESTMENT
1. Ownership Investments
This are assets that are purchased and owned by the investor.
Examples of this kind of investment include stocks, real estate properties, and
bullion, among others. Funding a business is also a kind of ownership
investment.
2. Lending Investments
Corporate bonds, government bonds, and even savings accounts are all
examples of lending investments. The money you park in a savings account is
basically a loan that you give the bank. This money is used by the bank to fund
the loans it gives out to its customers.
3. Cash Equivalents
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Republic of the Philippines
MAILA ROSARIO COLLEGE
Diversion Road, San Gabriel Village, Tuguegarao City, Cagayan Valley
Contact No. (078) 377 – 249
These highly liquid and can easily be converted into cash. Money
market instruments, for instance, are excellent examples of cash equivalents.
Cash equivalents generally offer low returns, but correspondingly, the risk
associated with them is also negligible.
Why should you invest?
When should you invest?
How should you invest?
What are your objectives in investing?
HOW SHOULD YOU INVEST?
1. Analyze Your Financial Needs
analyze your financial situation concerning risk tolerance, investment
objective and other factors like family size, number of earning members and
life goals.
2. Investment Diversification
Build a diversified financial portfolio by putting your funds in different
instruments for maintaining the right balance between risk and returns.
3. Time Period
Short-term or long-term funds.
4. Periodical Reassessment
Closely monitor them periodically
OBJECTIVES OF INVESTMENT?
1. To Keep Money Safe
Capital preservation is one of the primary reasons people invest their
money.
2. To Help Money Grow
Ensure that it grows into a sizable corpus over time.
3. To Earn a Steady Stream of Income
Investments can also help you earn a steady source of secondary (or
primary) income.
4. To Minimize the Burden of Tax
This motivation comes in the form of tax benefits offered by the
Income Tax Act.
5. To Save up for Retirement
Can allow your funds to grow enough to sustain you after you’ve
retired.
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Republic of the Philippines
MAILA ROSARIO COLLEGE
Diversion Road, San Gabriel Village, Tuguegarao City, Cagayan Valley
Contact No. (078) 377 – 249
6. To Meet your Financial Goals
Achieve your short-term and long-term financial goals without too
much stress or trouble.
V. EVALUATION
TASK
ACTIVITY 1 Restricted Essay:
In 300 words, why did you choose MRC to enroll and study?
RUBRIC
Validity of Answer 3pts
Content Structure (spelling, grammar, punctuations) 1pts
Related Examples 1pts
TOTAL: 5pts
VI. REFERENCE/S
(PDF) Principles of Managerial Finance by Gitman | d m -
Academia.edu
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Republic of the Philippines
MAILA ROSARIO COLLEGE
Diversion Road, San Gabriel Village, Tuguegarao City, Cagayan Valley
Contact No. (078) 377 – 249
https://www.maxlifeinsurance.com/blog/investments/what-is-
investment
COMPILED BY: CHECKED BY:
ELEINE T. ALVAREZ
BA Instructor BSBA, Coordinator
APPROVED BY:
ROMEO M. PASCUA, Ph.D.
Vice-President of Academic Affairs
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