STOCKS

1. STOCKS By: John, Chris, Jacob, Kenan, Luke

2. What is a stock? • A type of security that signifies ownership in a corporation and represents a claim on part of the corporation's assets and earnings. • Common stock: usually entitles the owner to vote at shareholders meetings and to receive dividends. • Preferred stock: generally does not have voting rights, but has a higher claim on assets and earnings than the common shares

3. Different Stocks • There are many different stocks in the market, such as; Google, Apple, Yahoo, Blackberry, Samsung, Sony, Microsoft etc.

4. How will stocks affect you? Pros Cons • You can make quick money. • If you put your money into a good company, your money can double, triple or even quadruple. • You can keep shares as long as you want. • For example: If you entered into apple ten years ago, you will be a long term share holder and you could have made millions. • On a bad decision you can also lose money fast. • If you put you money into a company and it goes dry, you can lose hundreds or thousands. • The company can go bankrupt and you lose all your money. • It’s a gamble.

5. How stocks benefits Companies? • Companies only make money when they decide to go into the stock market and give an initial public offering(IPO). • In summary, they only make money when people buy into companies stocks(ex. Facebook sold their stocks for $40, so that $40 goes directly to Facebook).

6. How To Buy Stocks • You can buy stocks on your computer. • You can call the market and buy stocks • You can by stocks on your phones, iPods and tablets.

7. Thinking Questions • If you noticed that your stocks value was decreasing, would you buy more at a lower price or sell and cut your loses? Explain • If you are a first time stock buyer, would you buy a stock that is well known (apple) or buy a new upcoming stock? Explain • In your opinion what age do you think the most common stock buyers are?