Stock Market for Beginners
The stock market is a marketplace where publicly traded companies' stocks are bought and sold. It is also known as the equity market. When a company wants to raise capital, it can do so by issuing shares of stock to the public in an initial public offering (IPO). Once a stock is publicly traded, it can be bought and sold on a stock exchange such as the New York Stock Exchange (NYSE) or the NASDAQ. The stock market can be a way for individuals and institutions to invest in the growth of companies and potentially earn a return on their investment through dividends and capital appreciation. However, investing in the stock market also comes with risk, as the value of stocks can fluctuate based on a variety of factors.