Stock Market Paragraph, September
For example, "stock" is a general term used to describe the ownership certificates of any company, in general, and "shares" refers to a the ownership certificates of a particular company. So, if investors say they own stocks, they are generally referring to their overall ownership in one or more companies. Technically, if someone says that they own shares - the question then becomes - shares in what company?Bottom line, stocks and shares are the same thing. The minor distinction between stocks and shares is usually overlooked, and it has more to do with language than financial or legal accuracy. Dividend is an amount of money that the company distributes to each of its shareholders. There can be such thing as “no dividend” meaning the company does not feel strong and wealthy enough to give out dividend. How the company distributes the money if it is in quartiles or annual payments varies between companies.Some of the world's major markets include NASDAQ stock exchange or New York Stock Exchange, London Exchange Group and Japan Exchange Group. They do vary in what they sell for example NASDAQ is more focused on electronics however on the other hand The New York Stock Exchange which is also in america focuses more on cosmetics or goods etc. The ticker symbol is the abbreviation for the company name, when you look at a company online you see them as their full name but on NASDAQ for example you'll see them as their ticker symbol, for example AAPL which stands for Apple Inc. The symbol varies for market to market depending on the rules that have been applied from the stock market, for example the bank Hong Kong and Shanghai Banking Corporation stock symbol in the US is HSBC but in the Hong Kong Stock Exchange they don't like it with letters so its symbol is 0005.A mutual fund is an investment fund made up of a lots of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments and similar things. A mutual fund is a collection of stocks. You can think of a mutual fund as a company that brings together a group of people and invests their money in stocks. Each investor owns shares, which represent a portion of the part of the fund.The law of supply and demand explains the interaction between the supply of a resource and the demand for that resource. The law of supply and demand is the availability of a particular product and the desire/ demand for that product has on price. Generally, a low supply and a high demand increases price, and in contrast, the greater the supply and the lower the demand, the lower the price tends to fall.The Stock Market is a marketplace where buyers and sellers for a particular share in a company meet to trade (today this is done electronically but the principal is the same). The price of a share will increase if the demand for a share is greater than the supply of shares are to be sold. If buyers are looking for many shares to buy, more shares than what is available among the sellers of the same share, then the price of the share will increase until you have sellers of the share. The pros of investing is so that you might make alot of money,
Some of the companies that I have invested in, like BNP Paris Bas, have turned out to be appauling, making me lose an incerdible amount of money. But, as expected other companies like Tesla have been helping me a lot to keep up, they have been upgoing stocks with about 5% increases most of the time. I have understood and discovered that some of the best companies to invest in are small companies with new things, like electric cars, or new planes etc. Another company which is currently helping me is HA, Hawaiian Airlines. They have been increasing a lot lately so I have gradually been buying more parts of this company. For the future I would to keep on looking for good new companies and try to sell when the right time comes
FINAL HOME SNIP
Through this very interesting project, I learnt many things. Some of these thing will probably be useful in my future and in my everyday life. I have learnt and understood parts of the stock market, as wide as it is. I have understood which companies are worth investing in and which aren't. Small companies with new things like electric cars etc. will most probably successful in the future. Investing in big companies like Apple or Samsung doesn't mean you will automatically lose, but you are unsure and you will rarely make money off those. I learnt the right moments to sell the companies. Overall I am 42 in rankings, which is quite bad considering we were 45. But knowing that I was 45th for over a month, I am proud of the changes I did which let me go up and not stay last. I have also understood that you should never invest in banks, the bank I invested at the beginning made me lose over 3,000 euros, this is the main reason I downgraded in the rankings so intensively. Hopefully, I learnt from my mistakes and decided to think more before buying. This project tough me loads of things and I found it very fun to have a simulator of the real stock market.