IMBO Magazine Issue 32 | Page 66

Y OLO” (You Only Live Once) is one of the mottos of our generation. As true as this may be, it should allude to living the best quality life possible as opposed to the wreckless lifestyle it seems to denote. Tomorrow may not be guaranteed, but not making preparations for the future means when tomorrow comes, it could be a very sad day. Stock investor and businessman Peter Lynch might have exaggerated when he said, “Everyone has the brainpower to follow the stock market. If you made it through fifth-grade math, you can do it.” But with all the resources and information available, investing in the stock market has become a very accessible ‘sport’. Stocks 101 Companies issue stock for many reasons. They serve the purpose of raising funds externally, allowing ownership of a public corporation to be shared amongst many investors. This results in those investors (you) receiving a stock certificate as proof of their stake as one of many owners of the company. The two main types being Common and Preferred stock. No gold stars for the person who guesses that common stocks are the most abundant. They have the highest risks and the prospect of higher earnings – as dividends are paid according to profits. IMBO/ ISSUE 32/ '14 66 E V E RYO N E H A S T H E B R A I N P O W E R TO F O L LO W T H E STO C K M A R K E T. I F Y O U MADE IT THROUGH F I F T H - G R A D E M AT H , Y O U C A N D O I T.