SIG - Stocks Lesson
Stocks
What You'll Learn
The stock market offers investors the opportunity to purchase a small piece of a company in exchange for incurring the risk of making or losing money on that investment. Using data related to specific companies and industries, as well as stock price trends, you can learn the risks and rewards of investing in the stock market.
What is Stock? When people mull over the types of investments they want to make, most consider purchasing some type of stock as part of a long-term investment plan designed to accumulate money for major life events such as college or retirement. Suppose that a company has 10,000 shares of stock and you own 1,000 of them. This would mean you own 10% of the company as a shareholder. To spread their risk, many times investors will own a number of different stocks in addition to other investments they might have in their portfolio.
Stocks as an Investment Option Presentation
Return on Investments Video
View the video below to learn how to calculate stock return on investment before beginning your assignment for this lesson.