The Stock Market. What is it and how do you deal with it? By: Tyrese M.
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Sooooo, the stock market is like a thing. It is a very complex system that our capitalist economy needs to survive. Essentially, at its heart, the stock market is like a bunch of people buying and selling stocks/shares of a company. Companies need money to operate and they get that through people offering to give up some of their own money to loan to a company, so that company can create new products or whatever the company does. That is called investing. When the company sells their product or service they make a profit and a part of that profit goes to those who invested in the company. The return on what you invested will have interest on it and that is why people invest in stocks; the money you get back will be more than you put in. However. you are not always guaranteed the money you have put in will come back. It all depends on how well the company sells. If the company fails to make enough profit you may actually lose the money you put in, and there is really nothing you can do about it because you took that risk.
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