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Stock market basics
Stock market basics
Stock market basics
Stock market basics
Stock market basics
Stock market basics
Stock market basics
Stock market basics
Stock market basics
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Stock market basics

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  1. Stock Basics
  2. Basics • Money without working • Own a part of a company (assets and earning) • You get to claim a little bit of what that company has
  3. … • Management of a company is supposed to increase the value of the firm for us (shareholders) • You’re not liable for any of the company’s debts • All you hope for is that the shares you got will be worth more in the future
  4. Why do companies get investors? • At some point every company needs to raise money to expand ▫ They can borrow money OR sell parts of their company
  5. Compound Interest START EARLY IN LIFE!
  6. Diversification
  7. Bonds • Income oriented investing • Lending out money to a company or government • In return, they give you back your money and a fixed interest rate
  8. Stocks • Become a part-owner of a business • Volatile but fun  • High potential returns
  9. Helpful websites: • http://www.investopedia.com/university/begin ner/beginner5.asp • http://www.investopedia.com/university/begin ner/beginner2.asp • http://www.investopedia.com/university/stocks /stocks1.asp • http://www.investopedia.com/university/simul ator/

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