Chapters
Chapters
Chapter 03
What a portfolio holds
Who owes you money, what do you own, and when can it pay? Follow the claims behind cash, shares, bonds and fund units.
Next lessonCash and cash instruments
—All materials read
- Cash and cash instrumentsFollow a cash balance to its legal arrangement, then compare access with the date of a bill.Read
A deposit gives a claim on a bank. Buying shares changes the relationship to ownership.
- Stocks: a share in a businessFollow customers’ payments through profit and its uses, then see how the price paid changes an owner’s result.Read
A shareholder receives what remains; a bondholder is owed payments under agreed terms.
- Bonds: lending with terms and risksRead the payment dates and separate interest, returned principal and the price you pay.Read
A fund can hold these securities for you. Your own holding is then units in the fund.
- Funds, ETFs and indexesMap fund-unit rights to underlying claims and economic sources, then check whether access meets a payment date.Read
Keep the map of claims, economic sources and access dates. Next, test what happens to the goal if a payment fails, value falls or access arrives late.
Next chapter: Risk you can live with