Video: Why Do We Buy Stocks?

Joel Anderson |

The financial world can be brutally complicated. With so many different markets and securities to choose from, it's easy to get overwhelmed. Even a question as simple as "what, exactly, is a stock?" can be a head-scratcher. Many retail investors own a whole portfolio of stocks without really understanding what those securities actually mean.



And if elementary school taught us anything, it's that cartoons from the 1950s are the best way to learn about anything. Here's a lovely little look the nature of public companies and common stock. While pretty clearly dated (companies need profits, holdings, and cash to get onto the New York Stock Exchange? Uh-oh, I guess nobody told Twitter (TWTR) that), the video still offers an excellent overview of the nature of public ownership of a business.

 

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Companies

Symbol Name Price Change % Volume
TWTR Twitter Inc. 20.00 -0.11 -0.55 17,226,117 Trade
LAHO Lans Holdings Inc 0.02 0.00 3.45 134,167

Comments

Emerging Growth

Immunovaccine Inc.

Immunovaccine Inc is clinical stage biopharmaceutical company. The Company develops products based on its proprietary vaccine enhancement platform in T cell activating therapies for cancer.

Private Markets

GoCoin

Blockchain currencies (e.g. Bitcoin) provide a new disruptive way to transfer value between parties over the internet as opposed to going through banks. GoCoin provides online merchants with a suite…

Mesa-Marshall 2 Well Project

MESA Resources ("MESA") is sponsoring the development of the two well direct drilling project -- "Mesa-Marshall #1-2". MESA, founded in 1992, is engaged in the acquisition, exploration and development of…