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please answer in simple words 'cause i am only 16...

2007-06-22 01:07:21 · 3 answers · asked by Anonymous in Business & Finance Investing

3 answers

The easiest way I can explain it is as a place(market) that people can buy or sell partial ownership(stocks) of certain companies. There are many different kinds of markets too and you can trade more than just partial ownership, and they are especially good for businesses that need to raise money for whatever reason

Now it is obviously way more complicated than that, but thats the easiest least complicated way I can put it.

2007-06-22 01:25:00 · answer #1 · answered by z_knell 2 · 0 0

Think of the stock market as a used book store where a person can buy a used book (shares of a company) or sell a used book.

The first sale of a stock to the public, when it has first been issued, is called an IPO (Initial Public Offering) and is handled by investment bankers. After the IPO, the stock trades freely in the stock market where people like you and me buy the stock and sell it.
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2007-06-22 08:28:39 · answer #2 · answered by Robert L 7 · 0 0

Markets are the meeting place where buyers and sellers come together and determine prices. A Financial market is a place where firms and individuals enter into contracts to buy or sell a specific product such as stock, bond, or futures contract. Buyers seek to buy at the lowest possible price and sellers seek to sell at the highest possible price. The market for stocks and other financial securities is similar in concept to a farmer's market where growers display their produce for consumers to buy. Financial markets are where money and people come together.

2007-06-22 10:24:28 · answer #3 · answered by anthony s 2 · 0 0

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