Www.jse.co.za Copyright© JSE Limited 2009 1 JSE Equity Market How do I invest?

Slides:



Advertisements
Similar presentations
1 Foundations of Business In order to appreciate and make informed decisions in the world around them, students will need to establish a basic business/economic.
Advertisements

Security Markets
Name: Date: Introduction to Stock Market
Stock Market Crash (1929) Students will understand the causes and importance of the Stock Market Crash –Crash marks the beginning of the Great Depression.
Lim Sei cK.  1. An enterprise that produces goods or services usually in order to make a profit.
Understanding Financial Management and Securities Markets
How Investing Works START INVESTING NOW TO REAP THE BENEFITS.
Travis Robson * As voted by Business Day Investors Monthly Trading with PSG Online.
Chapter 11: Financial Markets Section 3
What it means to you! “What’s What?” & “Who’s Who?” Financial Services can be very complex and obscure for even sophisticated members of the investing.
Bonds and Stocks.
9.2 How to invest in corporations
1 Presenter Date How to Start Investing Ana Forssman.
ECONOMICS STUDY GUIDE. Investing – saving in a way that earns income Diversification – distributing funds among a variety of investments to minimize overall.
Key Terms from the World of Finance. Key Terms AMEX – Stands for American Stock Exchange. Located in New York City, this stock exchange sells memberships,
How to Buy & Sell Stocks & Bonds. Where are stocks bought & sold?  NYSE – oldest & largest stock exchange  OTC- over the counter market  Traded through.
What is a Stock???  A Stock represents a share in the ownership of a company.  By purchasing a stock you become a shareholder/part owner of that company.
Section 12-1-Researching Investments and Markets.
STOCKS AND STOCK MARKET Vypracovala: Zuzana Kunzová.
Buying Stock: Corporations sell stock to raise funds. Stock represents ownership in the corporation and is issued in portions called shares.
Investing Bonds and Stocks. Setting Investment Goals  Investing presents opportunities for people and businesses to increase their income.  Investing.
How the Stock Market Works. Stock A share in ownership of a company. A share in ownership of a company. Someone who owns stock in a company owns a part.
12-1. McGraw-Hill/Irwin Focus on Personal Finance, 2e Copyright © 2008 by The McGraw-Hill Companies, Inc. All rights reserved Investing in Stocks.
SELLING STOCKS Investments Vocabulary Profit – The amount of money you make over and above the initial money invested. Loss – The is the opposite.
Percentages. Finding p% of a number x More examples.
Economics. October 24, 1929 Black Thursday Stock Investment that shows ownership.
Investing In Stocks Chapter 31. Today’s Schedule Tuesday’s Quiz Review Tuesday’s Quiz Review Assignment of Homework Assignment of Homework Chapter 31.
The Stock Market. In some countries, most businesses are owned and operated by the government. But in the United States, most businesses are privately.
Chapter 12 Sec. 3 Investing in Equities, Futures, and Options.
Investing Continued.  A stock is a share of a stock  It entitles the buyer to a certain part of the future profits and assets of a corporation selling.
Agenda Was it really raining money??? Notes Acrostic poem “Economic boom”
The Stock Market Shares. One day, Jane had a great idea for a whole range of new computer games. She played a lot of computer games and her friends had.
 Preferred Stock  Common Stock  Stockbroker  Stock Exchange  Market Value.
Finance 300 Financial Markets Lecture 5 Professor J. Petry, Fall, 2002©
Chapter 11: Financial Markets Section 2. Copyright © Pearson Education, Inc.Slide 2 Chapter 11, Section 2 Objectives 1.Describe the characteristics of.
Stock Market Basics. What are stocks? A stock is a share in the ownership of a company. Stock represents a claim on the company’s assets and earnings.
Have you ever asked to receive your allowance early or asked to be paid early?
Stock Market What is a Stock? A claim on the assets of a corporation that gives the purchaser a share in the corporation Ownership.
Chapter 11SectionMain Menu Do Now: There are 4 Exchange Student Guides at each table. Take one and begin reading the first two pages. –DO NOT WRITE ON.
6/1/2016Senior Seminar1 Markets, Competition and Efficiency Kozminski University Warszawa, June 22, 2013.
BONDS & FUTURES. WHY BUY BONDS? Corporate and Government bonds are other forms of investment. Return is usually lower than stock dividends but generally.
Investment Vocabulary. Stock Market  A market in which the public trades stock that someone already owns; the buying and selling of stock.
McGraw-Hill/Irwin Copyright © 2006 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 1 An Introduction to Money and the Financial System.
1.7 Stock Transaction Fees.  Shares of stock can only be purchased through a licensed stockbroker They also give investors advice  Stockbrokers charge.
Aditya Birla Money Limited Copyright Aditya Birla Nuvo Limited 2008 Options 1 “Options” is essentially an  Insurance Type of a Standard Contract  Entered.
The Stock Market 3.1 STOCK MARKET BASICS. Objectives.
Business Math JOHN MALL JUNIOR/SENIOR HIGH SCHOOL.
GOALS BUSINESS MATH© Thomson/South-WesternLesson 7.4Slide 1 7.4Buying Bonds Calculate the market price of bonds Calculate the total investment in bonds.
Stock Market Basics.
Advice, Information, and Transactions. Focus Questions 1.How can people learn more about investing? 2.Where can investors find written information about.
“Investing is like gambling, but with better research.”
EQUITY MARKETS Sokolova Ksenia. EQUITY MARKETS: DEFINITION  The market in which shares are issued and traded, either through exchanges or over-the-counter.
INVESTMENT  acquisition of capital assets, (buildings, machinery, stocks, bonds and shares) SHARES  part ownership of a company BROKER  licensed.
Prepared by: Mathematics Department
 A market in which stocks are down  Those who buy and sell stocks.
Pg Investing in Stocks. Investing in Stocks 1. How is investing in stocks different than investing in bonds? ◦ Bond investors lend money to a.
STOCK MARKET ACTIVITY This assignment has been modified because you may not be enrolled in this class for the length of time required. Please follow these.
Chapter 12 Buying and Selling Investments. Slide 2 What Are Sources of Investing Information? 12-1 Researching Investments and Markets Magazines Newspapers.
Chapter 1: The Stock Market
Introduction to Economics Johnstown High School Mr. Cox The Stock Market.
Investments, 8 th edition Bodie, Kane and Marcus Slides by Susan Hine McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights.
WARMUP 5/11: WRITE ON THE BACK OF THE LAST PAGE ON THE NOTES SHEET List at least 2 things that you know about the stock market. Then write 3 questions.
Types of Investments Types of Investment Tools StocksBonds Mutual Funds Real Estate Speculative Investments.
Stocks. Brokerage Firms and Account Executives An account executive, or stockbroker, is a licensed individual who buys and sells securities for his or.
Stock Market. How Do Stock Markets Work? Step 1:A client places an order with a broker at an exchange by phone, Internet or in person.
Naked Short Selling. Disclaimer Stock speculation is very risky Do not trade with more than you can afford to lose. Seek professional.
Finance Stuff Mechanics of Shorting a Stock Joe Nau.
STOCK MARKET. INVESTMENT  Definition- act of redirecting resources from being consumed today so they may create benefits in the future.
Stock Market Basics.
Investing in Equities and Options
Presentation transcript:

Copyright© JSE Limited JSE Equity Market How do I invest?

2 Where does trading take place? From Open Outcry … To Electronic Trading…1996

3 How do I invest? Buyer A South African investor picks up his copy of the paper or financial magazine

4 How do I invest? Buyer So many companies. Where do I start? I’ll look at the companies’ profits and how well their share prices have grown. I can always ask my stockbroker for advice The investor does research on the economic environment and how well companies are performing

5 How do I invest? Buyer Hmm…Sasol shares look like a good investment Stockbroker He’s interested in purchasing some shares, so he decides to place a BUY order for shares with his stockbroker.

6 How do I invest? Stockbroker I can also give my client advice… His broker then sends that order electronically into the JSE market

7 How do I invest? Stockbroker I must get the best price for my client The JSE then sends this order, via a communications lines, up to London

8 At the same time… Seller My investment has done well…I think I’ll sell A South African investor, wants to sell her shares

9 At the same time… Stockbroker Seller I can also give my client advice… She places a SELL order for her shares with her stockbroker

10 How do I invest? Stockbroker I must get the best price for my client Her broker then sends that order electronically into the JSE market

11 A Trade Seller Buyer I SOLD my shares! I BOUGHT my shares! The BUY and SELL orders MATCH and a TRADE happens

12 The Result Seller Buyer I got my MONEY! I got my SHARES! Stockbroker And…we were both paid for our services!

13 So what happens? Seller Buyer The Share…and many others Throughastockbroker At the best agreed price