Investing Behavior

 

 

 

 

What are the various types of investors? Complete the interactive investor profile questionnaire at Investment
Risk Tolerance Assessment. According to this instrument, what kinds of investments should you consider?
Write an introduction to your essay that provides a profile for yourself as an investor. What else can you find
out about investing behavior–for example, does your profile change over time as you age or does it remain the
same? How would your profile assist you and your financial advisor or investment advisor in planning your
portfolio?
Part II: Recognizing Fraud
What is a pyramid scheme exactly? Have you ever participated in or invested in such a scheme? Have you
ever been a victim of one? Research and discuss this topic in this part of your project. According to research,
why can it be difficult to detect a pyramid scheme? What are some possible tip-offs to this kind of fraud? Why
are pyramid schemes unsustainable? Who are the victims? Provide a diagram illustrating the dynamics of
pyramid schemes.
Part III: Famous Scandals
Survey the Web site of a 2009 60 Minutes CBS broadcast on the Madoff affair, which includes articles, video,
and links in this Youtube Video, ‘The Man Who Knew’ . According to this site, who discovered the Madoff fraud
and how? Who were Madoff’s victims? Visit the support group Web site created for the victims. In the CBS
video, how did Madoff defend himself? Read a Read a Journal article that explains how Madoff’s Ponzi scheme
was able to succeed. How did investor biases contribute to this success?
How did biases in regulatory oversight contribute to the fraud? Sample some of the videos of the congressional
hearings on the Madoff scandal. Why did representatives and senators focus their criticism on the Securities
and Exchange Commission?

 

 

 

Sample Solution

Investing Behavior

A pyramid scheme is a fraudulent system of making money based on recruiting an ever-increasing number of investors. The initial promoters recruit investors, who in turn recruit more investors, and so on. The scheme is called a pyramid because at each level, the number of investors increases. The small group of initial promoters at the top require a large base of later investors to support the scheme by providing profits to the earlier investors. Pyramid schemes are just one of the many ways scammers capitalize on human greed. These business-centered schemes have been around for years, but scammers are still growing rich off victims. It may be difficult to spot the crime here, and pyramid schemes are actually legal in some states. First, new investors need to pay a fee for the right to sell a product or service, and recruit others for monetary reward. This fee can be quite steep. Essentially, the recruiter is paying the salary of their superiors.

 

The Chemistry of Love

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Chemical_basis_of_loveLove has been alluded to as a heavenly inclination insofar as composed writing has existed. Writers, logicians, specialists, and different delegates of imaginative callings looked for its sources, reasons, and plans. Nonetheless, in the 21st century, individuals have gotten down to earth enough to accept that affection may have more grounded, natural causes. Innovative advancement has permitted researchers to look into this issue and give legitimate contentions for the hypothesis that cases love is a lot (not absolutely however) about “straightforward” science.

As indicated by Dr. Helen Fisher, an anthropologist at Rutgers University, love as an all encompassing framework can be isolated into three essential subsystems, each with its own practical assignments and jobs: sex drive, sentimental love, and connection. Sex drive is important to make an individual beginning searching for accomplices; sentimental love seems to enable an individual to hold center around one explicit accomplice; connection is urgent for building an enduring and dependable connection with a chose accomplice (Chemistry.com).

Every one of these subsystems need a main thrust to work and effect a person’s conduct. Despite the fact that a caring relationship is a great deal about brain science, it is as yet powered by hormones; this is the reason utilizing the articulation “love science” is completely supported. For the sex drive subsystem, testosterone and estrogen are vital; the sentimental love stage, or fascination, is “driven” generally by dopamine and serotonin; connection is continued by such hormones as oxytocin and vasopressin (BBC Science).

Testosterone and estrogen are separately male and female sex hormones that are answerable for sex-related physiological responses, desire, and the inspiration to search for an accomplice. Testosterone and estrogen cause sex drive to be available; notwithstanding, authorities concede that sex can give a begin to sentiment, as it builds the deluge of dopamine to the cerebrum (Chemistry.com). Dopamine and serotonin are hormones that cause rapture and positive temperament; similar hormones are additionally emitted in the wake of consuming certain medications, so this is the reason one can be “high” from the sentiment of affection, act incautiously, and “stall out” on the individual they experienced passionate feelings for. In its turn, connection—as the most durable period of an affection relationship—is driven by similar hormones that are capable, specifically, for mother-and-youngster bonds (oxytocin); this hormone is likewise accepted to be discharged when the two accomplices get close. In this way, a genuine relationship is progressively about consideration and delicacy, than sentiment and tempestuous emotions.

The well known articulation “love science” ought to be seen truly. Alongside characteristic mental procedures, love is additionally, to a huge degree, subject to the hormones emitted by our bodies during different phases of a relationship’s improvement. Sex drive, which makes us search for new accomplices (in the event that we don’t have one as of now), is managed by the hormones of testosterone and estrogen. During snapshots of closeness, the cerebrum is influenced by dopamine and serotonin—the hormones that are answerable for all the manifestations of sentimental love, for example, happiness, fixation on the object of adoration, lack of caution, etc. As a relationship creates, it gets strengthened by the hormones oxytocin and vasopressin; oxytocin, specifically, is a similar hormone that is answerable for the framing of mother-and-youngster bonds. In this way, in spite of the cases that adoration is simply a grave and superb inclination, it additionally has a great deal to do about science and science.

References

Dutton, Judy. “Love, Explained.” Chemistry.com. N.p., n.d. Web. 10 Feb. 2014. http://www.chemistry.com/datingadvice/LoveExplained.

“The Science of Love.” BBC News. BBC, n.d. Web. 10 Feb. 2014. <http://www.bbc.co.uk/science/hottopics/love/>.

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