标准书号68 69 308 06896 Unit 9 Investment.pptVIP

商务英语阅读 作者：李树红 Unit 9 Investment Information Background Key to exercises Investment Investment Defined Money committed or property acquired for future income. Trade off between risk and reward while aiming for incremental gain and preservation of the invested amount . In economics, investment means creation of capital or goods capable of producing other goods or services. * * * * 责任编辑：张 琛 出版日期：2009年9月 IDPN：308-2009-159 课件章数：16 Investment Studied 100 years of investing returns. looked at 100 years of investment data from 16 different countries around the world, weighted by size. Here’s what have been found: Investment Stocks around the world brought home an annualized gain of 9.2% a year in U.S. dollars from 1900-2000, including dividends. (It’s important to mention dividends, because dividends made up almost half of your investment return in the 20th century.) The U.S. did better, returning 10.1% a year. Cash (as measured by short-term Treasuries) returned 4.1% Government Bonds around the world returned 4.4%. Again the U.S. did better, up 4.8%. So, our historical data shows that stocks made 9.2%, bonds made 4.4%, and cash returned 4.1% in the 20th century. That includes war and peace, inflation and deflation. Since we can’t know the future, we can use these numbers as our starting point for what’s possible here in the 21st century. Investment The problem is, chances are we aren’t going to be around for the whole century. What matters is the next five years or the next ten or whatever your horizon might be. Investment While stocks may return 9% over the 21st century as well, people do believe that stocks will likely not be a great investment over the next five years. In fact, you may actually lose money over the next five years in stocks. So what about Treasury bonds and cash? Bonds pay 4% and cash pays, well, next to nothing these days. Bonds, like stocks, are in trouble too. Investment Most investmen