Tim Ranzetta

/Tim Ranzetta
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About Tim Ranzetta

Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.

NGPF Podcast: Tim Talks To Wealthfront Co-Founder and CEO, Andy Rachleff

Thanks to Andy Rachleff for this great conversation on the NGPF podcast recently. To say Andy has had an amazing career is an understatement. To name just a few of his roles: Founder of a premier venture capital firm (Benchmark), successful venture capitalist, sought after entrepreneurship instructor (Stanford Graduate School of Business) and currently a co-founder and CEO of a financial services disrupter (Wealthfront). Andy shares the insights he has gained over his illustrious career as well as the reasons he is so passionate about Wealthfront’s mission to democratize investing. Listen to this podcast to not only learn more about what makes a successful start-up but also the origin story behind Wealthfront and how automated investing is disrupting the investment management business. Enjoy!

Details:

By |May 15th, 2017|Entrepreneurship, Index Funds, Investing, New Products, Podcasts|

Interactive: Which Tech Giant Would You Drop?

Here’s a fun and quick interactive from NY Times to get your students thinking about the pervasiveness of technology companies in their lives. Students are forced to rank order the importance of the top five tech companies in their lives by selecting the order by which they would give them up (if forced by an evil monarch:) The five companies: Alphabet (Google is one of their subsidiaries), Amazon, Apple, Facebook and Microsoft (interesting that three start with the letter “A”).

Questions:

Article: How Online Shopping Makes Suckers of Us All

Rather long (about 15 minute read) but intriguing article from The Atlantic that provides great context for trends that I have blogged about the growth of online shopping (here and here). The article describes how in this era of “big data” retailers are harnessing consumer information to price discriminate and obliterate the concept of a fixed price.

Here are a few excerpts:

Trends: What Do You Buy Online?

Ask your students which of the following items they tend to purchase online:

  • Books?
  • Toys?
  • Electronics?
  • Clothing?
  • Food and Beverage?

See how their answers line up with current and expected online sales trends are for each of these categories. Notice how online sales are expected to continue to gain on “bricks and mortar” sales: 

Can You Predict If A Borrower Will Pay You Back?

Think you have a good B.S. detector? Well, let’s find out. Fascinating research in New York Magazine article (Hat tip to Big Picture Blog) describes how researchers used Big Data techniques to comb through information provided by borrowers on a peer-to-peer lending site. The goal of their analysis: look for words that might predict whether or not a borrower might make good on a loan. They determined that five words were good predictors that a loan would be paid and five words were good predictors that a loan would NOT be repaid.

For the ten key words they identified, can you guess which five predict repayment and which five predict default? 

By |May 14th, 2017|Uncategorized|

Question: What Are The New Interest Rates on Federal Student Loans?

Answer: 4.45% for federal direct student loans effective July 1, 2017 (up from 3.76% for 2016-17 school year).

Why the increase? Student loan interest rates are now tied to the 10 Year Treasury Bond interest rate.

From Bloomberg:

New undergraduate loans from the Department of Education are due to carry an interest rate of 4.45 percent, up from 3.76 percent for the academic year ending in June. Rates on some graduate loans are set to rise from 5.31 percent to 6 percent, while rates on loans to parents and guardians are due to experience a jump from 6.31 percent to 7 percent.

Question for students:

Interactive: How Did The U.S. Government Spend A Few Trillion Dollars In FY2016?

I thought Econ teachers might like this interactive website. Steve Ballmer, former Microsoft CEO and owner of the L.A. Clippers (A $2 billion purchase) has done a public service by harmonizing data from federal, state and local governments and putting it all on a website, USA Spending.gov (note that this interactive may move here this summer).

So, how did the federal government spend $3.85 trillion in FY2016? Note that on the website, you can scroll your mouse over the individual elements to get additional information.

By |May 11th, 2017|Budgeting, Chart of the Week, Interactive|

The Need for Financial Education Is Everywhere…!

As we embark on an advocacy strategy that you will see unfold in the weeks and months, I become more convinced everyday that there is a groundswell of grassroots support for making financial education as much a part of K-12 as the three Rs. I also am beginning to recognize the gaping hole that exists for financial programs targeting underserved populations.   This kind of fits the innovation model described in this Clay Christensen Harvard Business Review article where a disrupter targets markets that aren’t being served adequately today. As the list below shows, there seems to be a shortage of financial education providers customizing their product offering to adequately meet the needs of specific populations.

In the last few days alone, NGPF has received unsolicited inquiries from individuals serving diverse populations who are interested in expanding financial capability: