1. What type of stock represents ownership in a corporation? 2. Which type of stock gives its owner voting rights in the corporation? Two Types of Stocks: What are the major differences between common stock and preferred stock???
Buying a security at a lower price with the expectation that it will increase in value over time and then you can sell for profit
Short positions (“short sell”)
act of selling stock that you don't own at a high price by borrowing it from a brokerage and then buying it back at a lower price in the future. The expectation is that the price of the stock falls and you can buy it back at a lower value, thus profiting!
contracts that give investors the option to buy or sell securities at some point in the future at a price agreed upon today