Know your investing basics
What you need to know to get started in financial investing
Just getting started with learning how to invest? Let’s help you here.
Why should I invest in stocks?
Investing in stocks can help build your savings or retirement, protect your money from inflation, and maximize income. It is important to remember that there are risks when investing in the stock market.
What are stocks?
A stock represents a fraction of ownership of a corporation. Units of stock are referred to as shares. Companies sell shares to raise capital. Investors purchase stocks to generate income.
Why does the stock market exist?
The stock market plays a major role in a country’s economy. It helps companies rais capital, individuals create personal wealth, and helps increase investment in the economy. The stock market’s performance is also a rough indication of the state of the economy.
Options trading: risks and rewards
Not sure what options are? Let’s introduce you to these basics.
What are options?
An option is a contract that gives the investor the right to buy or sell at a specific price before an expiration date.
What is rolling options?
Rolling options is extending your options strategy by closing an existing position and opening a new one on the same underlying instrument with a different expiration or strike price.
How much money do you need to trade options?
For the majority of brokerages, the minimum deposit can be less than $1,000 but some can require as much as $10,000. Your minimum is based on how much the broker allows.
A library of even more resources to help you with your investing journey.
S&P 500, Dow Jones Industrial Average, and Nasdaq Composite.
Why do companies go public?
Companies go public to raise capital to expand. If a company goes public, they provide liquidity for their shareholders because then the securities can be traded through a public market.
What are the types of derivatives?
A derivative is a value derived from the value of one or more underlying assets. Common types of derivatives include forwards, futures, options, and swaps.