History
What year was the first modern stock available to trade?
What is 1611
True or False, stocks in the stock market can be publicly traded.
True
What is a stock vs a share?
They are an investment that means you own a part in a company.
Stocks are how ordinary people invest in some of the most successful companies in the world.
What is a diversified portfolio?
Owning stocks, mutual funds, and bonds
What is a preferred stock?
stock that entitles the holder to a fixed dividend, whose payment takes priority over that of common-stock dividends. Also called preference share
What was the first publicly traded company?
Dutch East India Company
True or False, In the stock market, you can only buy a full share or a full stock of a company.
False
How do you buy Stock?
Most often, stocks are bought and sold on stock exchanges, such as the Nasdaq or the New York Stock Exchange.
Also Robinhood.
If a company stock hits its 52-week low, is it worth the buy or do we wait? Why?
No wrong answers
What is a common stock?
Common Stocks: shares entitling their holder to dividends that vary in amount and may even be missed, depending on the fortunes of the company. British term ordinary share. Compare with preferred stock.
Where was the first stocks created?
(Location)
Amsterdam
Who can trade in the stock market?
Everyone
How do stocks make you money?
Buy Low, Sell High.
Dividends
A person who buys or sells stocks for the customer
Who is a broker
What is Crypto Currency?
a digital currency in which transactions are verified and records maintained by a decentralized system using cryptography, rather than by a centralized authority
In the late 1700's, what small group got together to trade?
Buttonwood Tree Agreement
Is the stock market risky, if so why?
The stock market is very risky because of how volitile it is, it makes each investment a risky move because it could either make you money or it could make you lose a ton of money.
Why would one want to buy a stock?
Owning shares of stock gives you the potential to share in the profits of the world's most successful companies. It is a good investment and could potentially make you money in the future.
payments made quarterly to stockholders but not by all companies
What is a dividend
What is an EFT?
Group of stocks usually tracking marked sectors (think healthcare, tech, etc). Stans for electronically traded funds
When the stock market crashes, what is one reason of it? (There are multiple ways)
Boom and bust of the housing market, along with the proliferation of mortgage-backed securities in the financial sector.
If you own shares or stock in a company, what is one thing that the company can grant you?
voting rights
residual claim on corporate earnings in the form of capital gains and dividends
What are some disadvantages of buying stock?
Stocks are risky and volatile, prices can be erratic, rising and declining quickly.
Returns are not guaranteed
You can lose a ton of money
What is Rule of 72?
A formula used to see how long it will take your investment to double.
What are Index and Mutual Funds?
•Index Funds: Group of stocks not actively managed. Ex. VOO tracks the top 500 US companies.
•Mutual Funds: Actively managed group of stocks where you pay the managers to seek after the highest return.