1. 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

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

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

4. Stock Certificate

5. Labels
Stockholders
Board of Directors
Executive Officers
Dividends

6. Types of Stocks
Preferred Stock
Common Stock

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

8. Stock Exchanges
NYSE
NASDAQ
Dow Jones and Company

9. 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

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

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

12. 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

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