IT’S THAT TIME OF YEAR:  RESOLVE TO BE FISCALLY FIT IN 2002

 Department of Commerce Urges Ohioans To Commit To Saving and Investing

As many Ohioans are resolving to become physically fit in the new year, the Ohio Department of Commerce is encouraging Ohioans to become fiscally fit by making sound saving and investment decisions in 2002.

“With the recent ups and downs in the economy, many Ohioans are paying closer attention to their finances.  The beginning of a new year is a great opportunity for Ohioans to resolve to be fiscally fit in 2002,” said Debbie Dye Joyce, commissioner of the department’s Division of Securities.   “Just as many of us resolve to exercise more and eat less, this is a good time to develop a plan to save and invest wisely in the new year.  Like regular physical exercise, regular saving and investing is a habit that can be developed through commitment and discipline,” she added.

Commissioner Dye Joyce recommended beginning a fiscal fitness program by developing a financial plan.  “Research shows that people who set savings goals, on average, save twice as much money as those without a financial plan,” she noted.  In developing a financial plan, Dye Joyce recommended the following:

    

•         define the purpose for saving and investing;

          •         set short-term and long-term financial goals;

          •         establish a level of risk tolerance;

•         consider which saving and investing products are best for your goals and risk tolerance (including employer-sponsored plans); and

•         stay disciplined.

 

Once you have a financial plan in place, Dye Joyce said that the word “THINK” serves as a useful acronym when considering an investment opportunity:

 

          •         Treating investment guarantees with skepticism.

          •         Homing in on your investment objectives.

          •         Investigating before you invest.

          •         Not being pressured into a particular investment opportunity.

          •         Knowing how your investment funds will be used.

 

If an Ohioan is considering whether to hire an investment adviser to assist in developing a financial plan, they can first call the Division of Securities Investor Protection Hotline (800-788-1194) to check if the investment adviser is licensed and if there are any enforcement actions against them. 

In addition, the Division has a publication titled “Who’s Who In The Financial Planner and Investment Adviser Field.”  It explains the testing and educational qualifications associated with the various professional designations used by financial planners and investment advisers.  The publication is available online at www.securities.state.oh.us/Information/Info.html or it can be requested by calling the Investor Protection Hotline. 

When an investor is considering an investment opportunity, Commissioner Dye Joyce strongly encourages Ohioans to “investigate before they invest.”  Ohioans can call the hotline to learn if the brokerage firm and securities salesperson is licensed and if the security being offered is properly registered with the State of Ohio.

A variety of investor education materials can be requested through the hotline or they can be downloaded through the Division’s web site at www.securities.state.oh.us 

 

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The Division of Securities promotes an honest and fair securities market where individuals and businesses can raise capital and investors can expect a fair return on their investment.  Other Commerce divisions enforce regulations regarding industrial compliance, financial institutions, real estate, liquor, auctioneers, and unclaimed funds, among others.  The department's Internet address is www.com.state.oh.us