Imagine that, in addition to your Kiwisaver funds, you've managed to accumulate $20,000 which you now want to invest for your retirement in 35-years' time. You've been told by one of your friends that the best way to increase your money is to invest in shares. You have found two particular shares of interest. The first Contact Energy, a power company, and the price seems quite reasonable at around $5.25 per share. In addition, the company does pay quite a large dividend every year to its share-holders. The second is the A2 Milk Company which produces and markets a special type of cows' milk. A2's share price is comparatively high at over $12 per share and the company doesn't pay dividends to its shareholders Required: 1) 2) 3) 4) 5) Discuss the reasons for owning shares. Explain how shares might be valued, how they are bought and sold and how you might know when to buy and sell. Contact Energy has a P/E ratio of just under 34 and A2 has a P/E ratio of over 58. Explain what this means about the price of their shares. Why are they so different? As an investor in shares explain why "Limited Liability" is such an important concept to you and give an example of how this could affect you if you buy shares in either of these companies Identify, including reference to the stages of investing, what risks are involved in share investments and what investment you think it might be appropriate to make