By:Evan Botterman and Tyler McKoy.  Very simply, a stock is a share in the ownership of a company  The more stocks in a company someone owns, the more.

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Presentation transcript:

By:Evan Botterman and Tyler McKoy

 Very simply, a stock is a share in the ownership of a company  The more stocks in a company someone owns, the more ownership they have  Holding stocks means that you are a shareholder  Being a shareholder entitles you to a share of the companies profits  These can sometimes be paid in dividends  The value of the stock goes up and down depending on how the company does

 A bond is a debt investment in which an investor loans money to an entity that borrows the funds for a defined period of time  Bonds are used by various organizations to finance projects  Sometimes companies use bonds if they need money fast—but they will have to pay back the money with interest later on

 Stocks: IBM (IBM), YHOO (Yahoo), MSFT (Microsoft)  Many stocks are traded on stock exchanges such as the New York Stock Exchange  Bonds: US Treasury Bond, Corporate Bond, Municipal Bond, James Bond  Bonds can be purchased from the companies or banks

 Write down a simple definition for stocks and bonds and give an example of each.  Everyone look up three stocks and write down the starting price and current price and record it. Which one would you invest in now?