What is a Stock Market?
A stock market, also known as the stock exchange, is a platform where companies raise capital by issuing stocks to the public. Stocks represent ownership in a company and can be traded for a profit or loss.
Types of Stocks
There are several types of stocks, including:
Trading on the Street
Talking stock can be done in person or over the phone. There are also online trading platforms that allow you to trade stocks from the comfort of your own home.
Stock Options and Bonds
Stock options give the holder the right, but not the obligation, to buy or sell a stock at a predetermined price (strike price) within a specified time period (expiration date). Bonds are debt securities issued by companies or governments to raise capital.