Volume 92, Issue 77

Friday, February 12, 1999


NEWS

Tan blows away competition in presidential victory

Western sees student application onslaught

Police bug for more city dollars

Newfoundland students push free tuition idea

No sore election losers

Candidate results

Putting investing into student terms

Putting investing into student terms

By Nina Chiarelli
Gazette Staff

CBC morning business editor and financial commentator Pat Bolland visited Western yesterday as part of the University Students' Council's Financial Awareness Week.

Addressing an audience of mostly students, Bolland answered questions after offering an information session on investment options for students. His presentation touched on aspects of investing such as risk tolerance, stocks and bonds, the brokerage industry and commodities. Bolland also presented many useful statistics for students interested in investing.

"The first thing you have to do is understand your current portfolio – and part of that is how much you're spending," Bolland said.

Bolland's presentation offered basic financial planning such as "how to save" strategies and he simplified complex financial jargon into the key terms student investors need to understand. "Financial planning isn't about retiring at age 55, financial planning is about making it to age 55," he said.

While Bolland's presentation explained the basic rules and properties of good investing for students, he also recommended against RRSP investments. "RRSPs are not the best for students. There are other pressures and places that your money needs to go," he said.

"Diversification is important and it means playing the field, spreading out your investment dollar. You can have a balanced portfolio and still be exposed."

Bolland suggested the internet as a useful way to find investment information. "The brokerage industry is very suspect. The exception to this is the online brokerage industry. They know that volume is the best advantage and they tend to offer services to the little guy."

Puneet Girdhar, financial aid commissioner for the USC, was pleased with the talk. "The USC has been so co-operative in endeavouring to inform students on financial matters." Girdhar added Financial Awareness Week will finish up today with a presentation on simple investing for students by Daniel Nixon, a third-year political science student.


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Copyright The Gazette 1999