The Stock Trade

Understanding stocks is the beginning to understanding the stock market.

Public companies raise needed capital by issuing stocks bought by investors, who are literally buying a portion of the business. A stock represents a fractional ownership of a company. Ownership, even a single share, gives investors the privilege of saying how the company should run and a subsequent share in any profits.

Historically speaking, stock investing has provided, on average, one of the best returns possible for the small investor. It's no wonder, then, that millions of new investors flock to the various stock markets each year.

There are only 2 things needed: capital and knowledge. We can't help you with the first, but for the second, well, that's why we are here.

Good luck and good investing. Now let's learn about stocks.