– Stock Market Portfolio, Mutual Funds, CD’s… Pay attention, take notes and ask questions…how much can you make?

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Presentation transcript:

– Stock Market Portfolio, Mutual Funds, CD’s… Pay attention, take notes and ask questions…how much can you make?

Industries Name some different types of business’s- What type of service does it provide? E.g…travel, entertainment, transportation, energy, insurance, banking, pharmaceuticals (drugs)…

Industries…cont! NIKE – CLOTHING PEPSI – BEVERAGE HOME DEPOT – CONSUMERABLES GENERAL MOTORS- AUTOMOBILES MICROSOFT – COMPUTER SOFTWARE APPLE- COMPUTER HARDWARE

EXAMPLE –e.g… You buy 100 shares of Nike Stock at per share! Total invested=5000$ You hold the stock for 2 years, and sell the 100 shares at 70.00! Total sale=7000$ Investor makes 2000 dollars!

Ticker Symbol and Share Price! Nike – NKE Pepsi – PEP Home Depot – HD General Motors - GM Microsoft – MSFT Apple – APPL Why? To make it easier. Abbreviations are much easier to use. 1 share = 20 cents – thousands of dollars. You can buy any amount of shares the company offers. 10 shares at 10.00$ each= invested! Example on the web!

Economic News – Good vs. Bad! If unemployment rate, inflation numbers, and consumer confidence and spending numbers are good = Usually means good news for the Stock Market as a whole. If a single company like DELL reports high quarterly earnings = usually means the stock price will increase.

FEAR vs. GREED –BEAR Market Consumer Confidence down Terrorist Attack Bad economic forecast Results in people pulling their money = lower the stock price BULL Market -Consumer Confidence up! -Economic Forecast Good! -Strong Economic Numbers! -Results in people putting more money in = higher stock prices

Two Major U.S. Markets NYSE – New York Stock Exchange Wall street / New York! NASDAQ - National Association of Securities Dealers Automated Quotations Brought about because the NYSE was getting too large Mostly comprised of technology stocks eg. MSFT (4 symbols)

Two Major Indexes DJIA – Dow Jones Industrial Average (comprises of 30 well diversified companies) S&P 500 – Standard and Poor’s 500 (comprises of 500 well diversified companies)

What Rules to Follow: Diversify your Portfolio Where can we research? Find the best performing industries Within those industries, find the best performing stocks E.g….Technology, MSFT!

Stock Market Project 7 parts / sections of the assignment Each sections worth 25 points directions followed (25 pts) = 200 pts possible! Directions to follow throughout the project! Pay attention…take notes…and help each other out! We will be going to the lab/library to complete some of the project in class!

Vocabulary Terminologies… You need to define all of the following terms…IN YOUR OWN WORDS! Complete Sentences! Stock Share NYSE Stock Split NASDAQ Diversify S&P 500 Ticker Symbol Bear Market 401 K Bull Market Capital Gain DJIA I.P.O – “initial public offering” Mutual Fund Portfolio S.E.C – “securities exchange commission” Stock Broker Wall Street