Sign In
Ask Question
Arts
Dillon
7 January, 21:34
How stocks, bonds, and mutual funds work:?
+5
Answers (
1
)
Keith Livingston
7 January, 23:00
0
1. Bonds are investment instruments that are basically loans to a company, a municipality, or the federal government with the expectation that the loan will be paid back at a set date in the future. Like all loans, bonds come with an interest component, which can involve periodic payments over the life of the bond or a single payment at maturity.
2. Mutual Funds are a way for a group of investors to pool their money so they can invest in a wider variety of stocks and bonds. The group of investors forms a "mutual" investment group and hires a professional fund manager. This manager makes decisions about how to invest the money based on the goals of the group. In a mutual fund, the value of your shares goes up and down as the value of the stocks and bonds in the fund rise and fall.
3. Stocks: Selling shares of stock is a common method corporations use to raise capital for things such as expansion and improvements, without borrowing large amounts of money. When you own stock, you actually own part of the company, and the value of your shares goes up and down as the company's perceived market value fluctuates. Stocks are basically certificates of equity and compared to most other types of investments, are considered riskier, but tend to have the greatest potential for long-term gains.
Comment
Complaint
Link
Know the Answer?
Answer
Not Sure About the Answer?
Get an answer to your question ✅
“How stocks, bonds, and mutual funds work:? ...”
in 📙 Arts if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Who is the police and crime commissioner for london?
Answers (1)
In the early 1900s China was trouble because of war lords in Bandits true or false
Answers (1)
The Spanish Conquest of the Aztecs was: a holocaust or a necessity?
Answers (2)
Some teachers find work in elementary schools teaching general music. list two things students might learn in a general music class
Answers (1)
Rembrandt's style was classified as plateresque. eclecticism. mannerism. baroque.
Answers (1)
New Questions in Arts
Surrealistic fight scenes in such films as Crouching Tiger, Hidden Dragon, Hero, and The Matrix rely on what editing technique?
Answers (1)
Is this statement true or false? Descendants of the Inca and Maya keep their culture alive by making weavings based on traditional weavings made long ago. A. True B. False
Answers (1)
Who Was The Artist That Who Coined The Term Post-Impressionism
Answers (1)
Kevin opened a restaurant about a year ago. However, because his restaurant did not do good business, he decided to shut it down. Which factor could be possible for this failure?
Answers (1)
Romantic artworks, such as Delacroix's Liberty Leading the People, were often intended as
Answers (2)
Home
»
Arts
» How stocks, bonds, and mutual funds work:?
Sign In
Sign Up
Forgot Password?