the stock exchange BBI 2O

Agenda Review saving vs. investing Identify types of stocks Learn to read a stock table & ticker tape Take the TSE Stock Search Trick or Treat

Saving: Why we Save?

What can you do with your money? Saving Money put aside for future use Easy to open, fixed rate of return, protected Investing Money used to earn more money or extra income Higher rate of return, greater or equal to inflation Yields not guaranteed, risk

Common Saving Plan VS Compound Saving Plan

Only Invest what you can afford to lose! Investing: High risk = High Return Only Invest what you can afford to lose!

What are the forms of investment? Bonds Lending money Guaranteed, liquid Stocks Invest in stock become part owner or shareholder of that company Risks & rewards

Types of stock Common Stock Preferred Stock Ownership in company Claim on a portion of profits (dividends) Higher returns More risk Preferred Stock Guaranteed fixed dividend forever

Types of common stock Blue Chip Growth Penny Stable growth patterns Dividend payment history Less risky Growth Potential for profitability & rapid growth Reinvest profits into operations Higher risk than blue chip Penny Sell for less than a $1 Highly speculative, newly formed companies High risk investments, potential for high return

The stock exchange Places where buyers & sellers meet and decide on a price in order to exchange stocks.

What is the ticker tape? Stock market information scroll (i.e. TV screen) Example MSFT 5K @ 61.25 3.35 (ticket symbol, shares traded, price traded, change direction, change amount)

The TSX Stock Search