The Basics of the Stock Market by Aryan Doshi

 The Basics of the Stock Market

The concept of the stock market is confusing just in the name. However, it is significant in everyone’s lives. Overall, the main goal of anyone investing in the Stock Market is merely to earn money. The basic concept is to give money to a company and acquire more money as this company progresses. To be specific, a stock or share is a representation of a piece of one company. For example, Netflix or Amazon. When you buy a stock you essentially own a minute part of this corporation. The amount of shares you own represents how much of the company you own. For example, if a person buys ten shares of a company that owns 100 total shares, this person owns 10% of the company. However, a majority of corporations have millions and even billions of shares to go around. There is a reason why these companies want people to invest. Otherwise, they would not just be giving out shares. The reason these corporations want people to invest is due to their enormous rate of growth. Therefore, the money they gain from the investors will help them hire employees, build factories or other buildings, buy raw materials, and additional costs. Over time, they obtain a surplus of money, where they can pay off the investors. This means both the company and the investor will be content with the interaction. When you comprehend this idea, it becomes easier to understand the stock market. With this in mind, investing is up to each person. It is entirely individualized. If one person believes Company A will skyrocket, they can invest in it. However, if another person thinks differently, they may steer clear of Company A. In my opinion, I believe anyone can invest in the stock market. Although there’s a gamble and risk at any given time, a reward can also be present. Not to mention, experts can guide you while making important decisions. I plan on investing because I think it is crucial to understand how and what companies progress, and I can make money off of it. Also, it very intriguing. It is like a sport that involves tactics. Even if somebody does not want to invest, it is still salient to understand the stock market. The big companies and corporations involved, are a part of every single person’s life. You buy food at Costco and watch movies on Amazon. The stock market would help you get to know a little bit more about them. To summarize, the stock market is a significant concept that everyone should comprehend, regardless of their involvement. 

https://www.investopedia.com/articles/investing/082614/how-stock-market-works.asp 

https://www.nerdwallet.com/article/investing/stock-market-basics-everything-beginner-investors-know https://www.youtube.com/watch?v=ZCFkWDdmXG8 G8