They are ownership in a company Part of publicly held corporations STOCKS What are Stocks? They are ownership in a company Part of publicly held corporations Price goes up and down

Limited Liability Have protection through the limited liability laws Can never lose more than invested Helps protect the owners (stockholders)

Capital The money a company is set up with Raised through the sale of stocks The more stocks sold the more capital gained

Stock Certificate

Labels Stockholders Board of Directors Executive Officers Dividends

Types of Stocks Preferred Stock Common Stock

Preferred Stock First to get paid their dividends Get bailed out first in the case of Bankruptcy Have voting privileges

Stock Exchanges NYSE NASDAQ Dow Jones and Company

NYSE Largest stock exchange Located on Wall Street Mange buying and selling of specific stocks Tough to get your stock on this list Uses a large trading floor to conduct transactions You saw this in the movie

Nasdaq Does not use a trading floor Uses computers for all trades Fastest growing stock market Different companies from NYSE All technology companies

Dow Jones Tracks the 30 largest stocks from industrial companies Can have stocks from Nasdaq and NYSE Called the Industrial Average

Mutual Funds Consists of stock in many corporations $1000 could be spread across 100 companies You can pay someone to buy and sell for you Actively managed Require more work but reduce the risk of big loss

Look up 10 Stocks of your choice Write the Symbol List the yearly high Yearly low P/E Ratio This week’s change