Part 1

I have learnt a great deal from MBA 7292 that I can apply in my professional life
and my personal financial decisions in the coming future. I believe that this course
has improved my understanding and my grip on financial literacy that I have been
interested in since a very young age. I don’t see myself beside Warren Baffet or
John Bogle at this stage but I would still want to give a good score to my
understanding about finance as I don’t get muddled up seeing all the financial
statements around me. I have developed a keen interest in researching and
looking at the financial statements of different companies on NASDAQ and have
made myself dummy accounts where I would purchase shares, take risks, and
make decisions. I have also made quite good profits. This course has also helped
me become efficient at managing my personal finances and savings and I believe I
have become determined at saving for all my major goal and I usually attain these
goals way before the deadline.
Financial literacy helps us understand and apply all the financial management and
planning skills and a person can learn debt management, accurate calculation of
interest, thorough understanding of the time value of money and many other
such aspects related to financial literacy (Kenton, 2020). Being financially
illiterate, people cant make effective financial decisions due to which they easily
become vulnerable to fraudulent activities and abusive financial practices. There
are some key principles in financial literacy such as learning to create budgets,
tracking one’s spending, paying-off one’s debt effectively and planning properly
for the retirement. I have learnt:
 The basics of budgeting: I can easily create and maintain a budget which
helps me to stay on the top of my finances. We have came across various
user-friendly tools for preparing budgets through which we don’t really
need to do lengthy calculations and can help ourselves keep a track of our
finances (Hoyt, 2019).
 To understand the working of Interest Rates: I have learnt to develop
different relationships between interest rates with several aspects such as
the money supply, the discount rates et cetera. I have been able to grasp a
good amount of understanding about the ins and outs of interest rates and
how these rates affect our finances.
  To prioritize saving: saving is definitely very important in order to keep
one’s financial health stable and up-to-date. I have learnt a lot about the
benefits of saving and the modern and latest methods of saving that I can
use in order to maintain my finances. This habit of saving has made it
easier for me to attain my goals that seemed quite challenging with little
finance.
 Credit-debt cycle traps: this course has greatly helped me with realizing
that it is much easier to lose credit than gain it and this is what has helped
me manage my credit effectively. Taking too much loan just for the sake of
fulfilling your irrelevant wishes could cost our whole lives and so, it is very
important to be careful about your future financial health in order to make
appropriate decisions.
 Identity theft issues and safety: I have learnt a lot about identity theft
throughout this course and how our personal financial information
becomes much more vulnerable due to increased digitalization. I have also
learnt several preventive measures that can protect me from such stuff.
Part 2
I have discovered this website which allows me to take part in games, invest in
companies without investing real money which lets me feel real life scenarios
without having your money at risk. This allows me to learn from this dummy
experience and I can make better trading decisions in real market.
https://www.marketwatch.com/game

References

Hoyt, E. (2019, August 20). The 5 Key Components of Financial Literacy. Retrieved July 08,
2020, from https://www.fastweb.com/student-life/articles/the-5-key-components-of-
financial-literacy

Kenton, W. (2020, April 19). Financial Literacy. Retrieved July 08, 2020, from
https://www.investopedia.com/terms/f/financial-literacy.asp