What is the CSA

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What is the CSA?

• What is the CSA?
• The Canadian Securities Administrators (CSA) is a
  forum for the 13 securities regulators of
  Canadas provinces and territories to coordinate
  and harmonize regulation of the Canadian capital
  markets.
• Our Mission
• To give Canada a securities regulatory system
  that protects investors from unfair, improper or
  fraudulent practices and fosters fair, efficient
  and vibrant capital markets, through developing
  the Canadian Securities Regulatory System (CSRS),
  a national system of harmonized securities
  regulation, policy and practice.
• The three objectives of securities regulation
  are
• 1. The protection of investors We are here to
  protect investors from fraudulent, manipulative
  or misleading practices.
• 2. Fair, efficient and transparent markets We
  are here to ensure investors have fair access to
  market facilities and market or price
  information through regulation that can detect,
  deter and penalize market manipulation and
  unfair trading practices.
• 3. The reduction of systemic risk We aim to
  reduce the risk of failure of market
  intermediaries and when it cannot be avoided,
  we then seek to reduce the impact on investors
  and other market participants.
• In pursuing these three objectives, securities
  regulators try to protect investors while
  supporting efficient capital markets. For more
  information, visit the CSA web site at
  www.csa-acvm.ca.

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Money

• List all the ways you can make or earn money now.
• How will you make money in the future?

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What do you DO with your money?

• Answer TRUE or FALSE
• I can pay for everything I need every week (or
  month). T F
• I always plan all my weekly (or monthly)
  expenses. T F
• I know exactly how I spent my last
  paycheque/allowance. T F
• I save money from every paycheque (or
  allowance). T F
• I have started saving money to meet my future
  goals and dreams. T F

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How to spend money

• If you answered F for one or more questions,
  then its time to improve your financial habits.
  The money you earn should be able to cover your
  weekly (or monthly) expenses, including things
  you have to buy (bus pass, lunch, books, etc.).
• Your money should be used to get what you need,
  get what you want, meet your goals today (buy
  that mp3 player), and meet your goals for your
  future (travel around the world?).

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Worksheet 1

• What do you need?
• What do you want?
• What are your goals today?
• What are your goals and dreams for the future?

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Did you know

• On average, Canadian youth spend __ on clothes,
  food, and entertainment
• a) 14 million annually b) 14 billion
  annuallyc) 140,000 annually

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3. How to BUDGET

• Your budget should include all your expenses.
• What are your expenses?
• Money you spend on things you NEED and WANT
• Money you SAVE
• Money you INVEST

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Worksheet 2

• Are you always able to buy what you want and
  need? Why or why not?
• Calculate how much money you make and/or earn on
  a monthly basis.
• Now, from Question 1 and 2 of Worksheet 1, select
  items which you buy on a monthly basis. Be sure
  to include ALL the items you NEED on a monthly
  basis, and add in the items you WANT. Add up the
  total cost of the items you list.
• Compare your answer in question 2 with the total
  in question 3. Are they the same, close, or way
  off?
• If you are not close, or way off, can you think
  of ways you can rework your budget in order to
  meet your monthly income? (i.e. cut back on
  expenses, pack a lunch, etc.)
• Why is it important to budget?

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How to SAVE

• Look at the items you listed in Question 2 from
  Worksheet 1.
• Do you currently make enough money to buy these
  things?
• Look at the items you listed in Question 4 from
  Worksheet 1.
• What will you have to do to make sure you can buy
  these things in the future?

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Worksheet 3

• Who has more at age 40? Person A or B?
• Name different ways you can save (or economise).
• How much money should you be saving?
• Why is it important to save money?
• When should you start saving? Why?

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How to INVEST

• Investing giving money to someone else (e.g. a
  financial institution) with the expectation you
  will get a return what the return is will depend
  on what you invest in.
• Get information and advice before you invest your
  money.

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Worksheet 4

• What does investing mean to you?
• How can you learn more about investing money?
• Why is it important to start investing money when
  you are young?
• What does a Financial Advisor do?
• Would you rather receive 10,000 now or a
  penny a day, doubled everyday for a month (31
  days)?

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There are 3 characteristics that apply to all
investments

• Expected return interest, dividends, or capital
  gains you expect to receive from your investment
• Risk the possibility of losing some, all, or
  more than the amount you invested, or the
  possibility of earning a lower rate of return
  than expected
• Liquidity how easy and/or quick it is to
  sell or redeem the investment

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Budget, Save, Invest!

• Now plan a FINAL BUDGET that takes into account
  the money you earn, the money you spend, the
  money you SAVE, and the money you INVEST.
• Use your answers from all 4 Worksheets to come up
  with your budget (refer to Worksheet 5).

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Take The Online Challenge!

• From April 2 to April 30, 2007 you can go online
  to play the FINANCIAL FITNESS CHALLENGE!
• You can win one of 13 cash prizes of 750! One
  winner from each province and territory will be
  selected.
• Go online www.FinancialFitnessChallenge.ca