What does this investment represent?

Overview: This journal activity is private between you and the instructor. In this journal assignment, your objective is to describe a few of the most common types of potential investment vehicles and understand the difference between the primary vehicles and derivative vehicles. Think about the following questions as you create your journal assignment:

•  What does this investment represent?

•  How does each investment generate income or cash flows?

•  What can go wrong with this investment?

•  How can you buy and sell the investment?

  Prompt: Specifically, the following critical elements must be addressed:

1. Define short-term investments, stocks, and fixed income investments.

2. Discuss the risks of short-term investments, stocks, and fixed income investments.

Relate your answers to the following types of investments:

Short-Term Investments

•  Money Market Mutual Funds

•  United States Treasury Bills

  Stock
   Preferred

   Common Fixed Income

   Bonds

  Other

•  Exchange-Traded Funds (ETF)

•  Mutual Funds

  Rubric
  Guidelines for Submission: Your journal assignment should be three to five paragraphs in length and address all of the critical elements. It should also cite at

  least two sources using APA format. Consider utilizing the required readings, as well as recent news articles. Submit journal assignment as a Word document.