Enterprise Lesson Plans / KS4 - Financial Risks in Business - 5 lessons / Financial Risks in Business Lesson Plan 3 - Balancing the Risks

Connect the Learning

Recap on the previous lesson which explored personal reward.

The Big Picture

This lesson looks at how risks change over time.

Learning Outcomes

By the end of this session, students will appreciate the need to review risks as they do not stay at the same level over time.

Introduction

Partnered activity. Ask the students to list the different situations where they know that there is financial risk. After a short period of time, discuss what high risk/high reward might mean in terms of a financial package offered to someone investing in a company.

Activity

Students carry out an internet research project.

The FTSE website is the one that provides data that far back – students might find their own route to the information. They are asked to report on whether it has gone up or down during the period. They carry out the exercise to find out whether an investment from December 2004 would have gone up or down.

Students access the accompanying spreadsheet and look at what has happened to an investment. They change the value of investment and see what happens to the chart.