Stock exchange – Just another WordPress site Wed, 02 Mar 2016 16:34:37 +0000 en-US hourly 1 What Are Stocks? Wed, 14 Mar 2012 10:08:40 +0000 Stocks are shares of a company that are sold to help that company raise money. Owning a share of stock gives you certain rights within that company. You have a right to vote on company decisions, get a dividend each year and are considered a partial owner of the company.

Different Types Of Stock

Stock Certificate

Stock Certificate

Not all stocks are created equal. Different stocks give you different rights within the company. A share of common stock typically equals one vote at a shareholder meeting. However, different classes of stocks can give you more than one vote depending on how the company classifies your stock. Preferred stocks give you the ability to collect a dividend before other investors collect theirs.

Do All Companies Sell Stock

Some companies do not sell stocks at all. Most private companies sell equity in their company for an agreed upon price to specific people. Public companies usually sell stock to anyone who can meet the share price being asked for.

How To Buy Stock

How do you purchase a share of stock? Most stocks can be bought through a private brokerage firm. Stocks can also be purchased online through online trading sites. Stocks are typically traded on what is referred to as a stock exchange. There are exchanges in most big cities across the world.

Stocks Are A Good Investment

Purchasing a share of stock in a company can be a good way to invest your money. The value of your portfolio goes up as the value of your shares go up. Most investors get a 10 percent return on their investment each year. This means your money can double in value in as little as a decade.

Buying stock is a very good idea for long-term wealth building. Companies sell stock because it is a good way to raise funds quickly for their company. In return, you are guaranteed that the company will do everything it can to increase profits to yield a higher dividend.

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What is the Dow Jones Index? Sat, 10 Mar 2012 07:48:12 +0000 The Dow Jones Index is one of the most widely-known financial indices in the world today. It plays a big role in the financial markets and if you’re an investor, you should be aware of how it works.

The Dow Jones Industrial Average or Dow Jones Index is one of the most widely known financial indices in the market today and has been for many years. Investors always talk about “The Dow” when referring to the performance of the market in general. The Dow Jones Index was created by a Wall Street Journal editor named Charles Dow in 1896. It is named the Dow Jones index after Dow and his friend Edward Jones.

How the Dow Jones Index Works

Dow Jones Index Chart

Dow Jones Index Chart

The Dow is a financial index, meaning that it is a compilation of the performance of a number of stocks. The Dow Jones is based on 30 of the biggest publicly-traded companies in the United States. At one time, it only included stocks of companies that were in the industrial sector, but today it has little to do with industrial companies. Now it is simply an index that looks at 30 of the biggest companies in the United States market.

Today the Dow is made up of companies like Walt Disney, Bank of America, AT&T and Coca-Cola. Each day, the Dow Jones value is calculated based on the values of companies that are included in the index. This gives investors a general feel for how the market has performed as a whole. Since the rest of the market tends to follow the performance of the biggest companies, this gives investors an idea of what is happening in the stock market in general. Along with the NASDAQ composite and the S&P 500, the Dow is one of the most commonly used indicators in the market today.


Although the Dow Jones is very important to most investors, it is not indicative of the performance of every stock. Some stocks could do well even if the Dow Jones index performs poorly over a period of time. As an investor, it is simply one tool that you can use on a regular basis to aid in making decisions.

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