What do I need to know to start investing in the stock market?

I am interested in investing in the stock market, and in learning more about finance in general; however, whenever I search for basic information on these subjects, I find people giving advice instead of information. I do not not want to know how I can be an effective investor (not yet anyway); I want to know what investing, at its core, is. What does it mean to own a "piece" of a company? What does "buy low, sell high" mean? What is a bond? Anybody with the time and interest to give me some help on this would be much appreciated.

4 Answers

  • 1 decade ago
    Favorite Answer

    You can find a lot of insights at


    To buy stock is to own a piece of a company. To own a bond is to loan money to a company, and you hold the IOU. Everyone with stock wants the value to go up -- so you buy at a low price, and sell it later at a higher price to make money.

  • 1 decade ago

    Buy high.... sell higher.

    Investing is... putting money "at risk" in order to make a gain. With stock... you can buy a small piece of a company..... (share)...... over time the value of that share will go up or down....... Read a few books. Learn this stuff.... it will make your life a little easier.... if you can become financially secure.


    Investing For Dummies

    Mutual Funds For Dummies

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  • Anonymous
    1 decade ago

    Buy Low , Sell High = Buy investments at a low price then sell them at a high price = Profits

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