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The difference between investments and stocks? |
What are the pros and cons of each and how do you make investments? there are many different types of investments, and many different stocks you can buy.........investment can be anything, cars, jewlery, homes, paintings, furniture, rugs, coins....anything like that can be considered an investment....heck even baseball cards....anything that you buy with the hopes that it will someday be worth more than you paid for it.......most of these types of investments would require a larger amount of money to own for the most part Investment is just a broad term, purchasing stock is a way of investing. I make investments through tradeking.com, but there are plenty of online brokers, or you could go to a local brokerage. You could also look into other types of investments, such as mutual funds, exchange traded funds, or IRA's. Yahoo Finance has a lot of help tips, and FAQ's. "Stocks" are one kind of investment; your question is a bit like asking what the difference is between roast beef and food! Investment is anythign that you put money into with the idea of getting more money out later. Example is a bank account. you put 100 bucks in and you know that if they pay you interest then in 10 years, you might have 140 bucks.. but that would be a pretty high interest rate. so anything could be an investment. Stocks are a way of investing. basically, you're buying parts of a company (beacuse you can't buy the whole company or you'd be rich enough not to have to worry abotu investing). the idea is to buy parts of companies that are profitable so that when they make money, you get money too. Its kind of a long explanation for yahoo answers so drop me an email and i can explain it a little more throughouly to you.. i see day trading and playing in the stock market as people trying to get rich quick, all these penny stocks and stuff, i see investing as a more long term way of dealing with your money, a buy and hold stock market approach, or buy into a mutual fund for long term Hi, i suggest a great site with plenty of Issues related to your Investing and everything around it. it also provide clear and accurate answer to many common questions. |
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