The U.S Banking System

Don’t Hate the Playa…Learn the Game.

Agenda

• 8:00- 8:20 Intro + Review (Financial Markets)

• 8:20- 8:40 Round Robin• 8:40-9:00 Money Mgmt + Federal Reserve• 9:00-9:20 Questions

Expectations

• Contribute to the discussion• Don’t be a know it all• Ask at least one question • Be willing to put forth your best guess

Money Management Mastery

• Financial Alignment• Stable budget• Emergency Fund • Future Planning (automated withdrawals)• Debt Elimination• Financial Immersion• 401K & IRA Investing• Real Estate Investing

Money Management Mastery

Financial Alignment

Stable Budget

Emergency Fund

Future Planning

Debt Elimination

Financial Immersion

RE

123

4

401K & IRA

5678

Review: Financial Markets

Review: Financial Markets

• Government fiscal and monetary policies• Speculation• World events• Supply and Demand

Review: Financial Markets

Round Robin

The Federal Reserve Bank

The Federal Reserve Bank

The Federal Reserve Bank

Who owns the Federal Reserve System?

The Federal Reserve Bank

Why does the federal reserve bank exist?

The Federal Reserve Bank

How do banks create money?

The Federal Reserve Bank

How does the federal reserve set monetary policy?

The Federal Reserve Bank

Reserve Requirement

The Federal Reserve Bank

Open Market Operations

The Federal Reserve Bank

Discount Rate

Why Does this Matter?

Money may not grow on trees, but it can be created out of

thin air.

Why Does this Matter?

The entire system is a big Ponzi scheme because it is not

backed by anything.

Why Does this Matter?

We actually DO NOT live in a free market economy

because the fed can easily impact the economy leading to many booms and busts.

Why Does this Matter?

Never, ever, ever pay fees to a bank.

Why Does this Matter?

Don’t hate the playa. Learn the game. This is why I am

building an army of young investors.

The Federal Reserve Bank

Questions?