How Do Stocks Work in 2022? Here’s What You Need To Know

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How do stocks work? That seems like a question that one should know before investing.

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However, with the billions of dollars invested in employer retirement plans, many people don’t have the answer to that question.

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A stock represents a means for companies to raise capital outside of a regular revenue stream.

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When companies sell shares of stock, they sell a small piece of ownership for interested investors to buy.

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In doing so, investors get voting rights, dividends, and any gains from increases on the stock market.

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Companies start as privately held and are not listed on any stock exchange.

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Its leaders must decide to start selling shares to the general public through an initial public offering (IPO).

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How Do Stocks Work in 2022? Here’s What You Need To Know

How do stocks work? That seems like a question that one should know before investing.

However, with the billions of dollars invested in employer retirement plans, many people don’t have the answer to that question.

A stock represents a means for companies to raise capital outside of a regular revenue stream.

What Are Stocks?

When companies sell shares of stock, they sell a small piece of ownership for interested investors to buy.

In doing so, investors get voting rights, dividends, and any gains from increases on the stock market.

Companies start as privately held and are not listed on any stock exchange.

Stocks and IPOs

Its leaders must decide to start selling shares to the general public through an initial public offering (IPO).

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