Research Paragraph: When an investor refers to “his stock”, he usually means all of his ownership whether it’s one or more companies; whereas, a share is one particular ownership of a specified company. When an investor owns a share, the company it belongs to annually pays him a dividend out of its profits to give the investor a steady income and also to attract more investors. Mutual funds are investments that are made into a professionally managed portfolio which is a selection of brands owned by one major company. Some pros for investing in stock market are that it the dividend that you earn will be a great source of income and that the money you make will be a long term growth for you and your bank account. On the other hand, the cons are that investing in shares and stocks will never be risk free, the biggest one being money loss, banking crisis and going broke or bankrupt.Each company has a ticker symbol, an arrangements of characters, that allows us to uniquely identify it on a stock exchange. These ticker symbols differ in arrangement, size and characters depending on the stock exchange the company is listed in. Some of the Major World Markets today include, The New York stock exchange, The NASDAQ stock exchange, The London stock exchange, The Tokyo stock exchange, and the Euronext stock exchange. Supply and demand is the stock or amount of a product or service available for the desire of consumers and buyers. It is usually a factor of the product’s price and it affects the stock market. For Instance, when the demand of a product increases, the company will see this as an opportunity to increase the price of the product, making their profits bigger.
Update evaluation : Currently, the companies that are doing in the best in my portfolio are Amazon and the Royal Dutch Shell. The reason for the improving stocks of the Royal Dutch Shell are the cold weather that leads more oil and gas demands throughout Europe. Amazon’s source of success is not determinable but hopefully it will continue improving. The worst companies at the moment are Adidas and Starbucks. The reasons for these downing stocks aren’t quite determinable either. So far, I sold my Christian Dior share that had just had a big boost as I wanted to make some profits and avoid it’s decent in stocks. I also bought two Starbucks shares after I found out through research that holiday seasons are very successful for this coffee company. Overall, I am quite happy with the way thing are going but I have considered selling my Starbucks and Adidas companies as the outcome of my investment in them is not as I expected.
Final Reflexion :Throughout the project, my two most successful companies were Daimler and Royal Dutch Shell because they brought me the most return and therefore, good profits. Even Though Amazon decreased a lot towards the end, it does still hold the record for the biggest profit as it had increased in october. The worst investment I made was without a doubt Adidas because of it’s constant decreasing trend.The Royal Dutch Shell’s stocks were so successful because companies like this, who sell oil and gas, tend to have a major boost during cold seasons for the obvious reason of consumers heating their houses more during these times. If I had to say which company’s outcome surprised me the most, it would be Amazon. It’s stocks have been tanking even though it is known that Amazon’s rates usually go through the roof during this festive season. If I were to restart this project, I would definitely invest in Twitter and Microsoft as their stocks have been increasing massively in price due to current events. I wouldn't have bought Adidas, Unilever and Nestle because of their negative outcomes and big decreases in price. If this project were to continue, I would probably sell my Adidas stock in hopes of making more returns and improving my portfolio value. I would also keep my other shares waiting for the big Christmas economic boost. This project has taught me a lot of interesting things about business and economics. Just through the initial research, I learned new terms,different types of shares and stocks that exist and many things I didn’t even know existed, like stock exchanges. I also learned how to manage a budget, use current events to predict economic movements, investing in shares and trying to create the most successful portfolio possible. Overall, this project was not only constructive to all of us, but also fun and competitive.