The stock market often sounds intimidating, but its basic operation is very accessible:
It’s a market (physical or digital) where companies sell small portions of themselves, called “stocks,” to finance themselves and grow.
How do you make money by buying a stock?
•Appreciation: If the company grows and things go well, the value of your stock increases and you can sell it for more in the future.
•Dividends: Many successful companies share part of their annual profits directly among the people who own their stocks.