Why Is The Stock Market? Essay

Why Is The Stock Market? Essay

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“When you’re young, saving for something that’s years away—aka retirement—may not seem important. But it is exactly when you should start saving. The more time your money is invested, the more time it has to grow.” (Fidelity) Stocks are a great and somewhat easy way to have the money that is invested in them exponentially grow overtime. It’s a great way to start saving for future plans like a family and retirement, and can become more and more beneficial throughout the years! Even investing small amounts of money into the market can lead to larger profit in the future.

What are stocks? What even is the stock market? Questions like these are asked by people all the time, but what’s the best way to learn about stocks? Throughout the internet, there are hundreds of sites to learn and teach about how and why stocks are used. These superb websites give great information about all that the stock market has to offer, and even news that has to do with these stocks. “Plain and simple, stock is a share in the ownership of a company. Stock represents a claim on the company 's assets and earnings.” (Investopedia Staff). As you acquire more stock, your ownership in the company becomes greater. But since there are these “public” companies that sell shares, there’s also the opposite. Certain companies are classified as “private”. These companies own 100% of their own company, and do not sell shares of it within the stock market.

Investing in the stock market may seem like a very simple procedure to do, but it’s not as easy as some may think. The first step in investing is definitely knowing or gaining knowledge about the stock market. The next step would be to learn about all the different varieties of stocks in the stock markets, especia...


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...l be much easier! And while these things are true, there is also the opposite side of the story. “The bottom line is that there is no one way to pick stocks. Better to think of every stock strategy as nothing more than an application of a theory - a "best guess" of how to invest.” (Larry Light)

In conclusion, the stock market is a great way to make money overtime. Simply put, you want to invest in order to create wealth. It 's relatively painless, and the rewards are plentiful. By investing in the stock market, you 'll have a lot more money for things like retirement, education, recreation -- or you could pass on your riches to the next generation so that you become your family 's Most Cherished Ancestor. Whether you 're starting from scratch or have a few thousand dollars saved, investing in stocks will help get you going on the road to financial well-being!





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