Describe the nine-step investment process and identify the six common components of an investment policy statement.

Describe the relationship between the number of securities in a portfolio, the types of securities in a portfolio, and the riskiness of a portfolio.

Explain the key issues associated with portfolio rebalancing.

Discuss other aspects of investment selection including investment effort, minimum investment size, ethical and moral issues, different tax treatments, and concentrated portfolios.

Demonstrate how dollar-cost averaging plans work and describe examples of these plans.

Describe phenomena associated with behavioral finance and explain the implications of these phenomena for a financial planner.

Describe strategies for selling the client on a plan.

Describe the characteristics of the spot market, forward contracts, and futures contracts.

Describe the institutional framework for trading futures contracts.

Describe the general characteristics of futures contracts.