Shares/Stock Why is it importnant to learn about stocks/share

greenieS

Verified member
A very good question for everyone, depending on the countries you belong to. I did not have the opportunity to learn in school, in high school about ways to make money / investments. Did you have this opportunity? Or maybe in college you learned about certain investments in this field? I would have loved to learn that things since at least in highschool. To go into share and stocks adequate knowledge and experience is needed. Do you think it's okay to learn these things in high school? Do you think it would help you right now if you had this knowledge since high school ?
 
Stocks is looking at the amount of asset a company has in it possession and shares is considering the amount of asset a company is willing to give out to it subscribers this explanation is just a very simply analogy. It is not so comprehensive, so we are suppose to have knowledge about this things because we live in a business circle or world. And with a very good knowledge of the operations of how shares and stock are been bought and sold will help us make good investment decisions. And know exactly when to get out of the market.
 
Because you need knowledge before you can succeed in it it or make profits that's why, stocks and shares aside, anything that you want to do knowledge should become first because that's the only way you'll be able to understand what you're doing and it will help in making decisions.

I made the same mistake before when I wanted to start forex and I just jumped in without any prior knowledge and I burnt myself severely but I those losses I count them up as lessons that's why I always go out of my way to advise people about seeking knowledge first.
 
Their is no such here in my country, where you're taught with everything you need to know about stock exchange. It wasn't taught here in my country as a subject, but the basics was taught to us through financial accounting subject and 'commerce. But they wouldn't teach you how to trade stocks, you'll be taught about general business and how to calculate for profit, gross profit and loss, book keeping and so on. It will be very much pleasing to go to institution that focused more I'm teaching about stocks and shares exchange for them to know the basics and learn to trade with high accuracy.
 
In the recent months I came to the realization that we have no more bread winner when my wife died so I have to think of the future, that is my future to be specific. How would I last for 20 years with the money that my wife left me? For now the amount of money may be sufficient but after some years when inflation has eaten part of the lifetime savings that my actuarial computation will be wrong. That is the reason why I have to consider an investment to guard my money against inflation. I have seen how old people would become poor due to inflation. When you have no income then what you have now should be invested to at least provide you with a passive income in the form of bank interest of profit in the investment.

The stocks appealed to me not because of the profit since real estate can earn more in terms of profit in the long run but the liquidity in real estate is questionable. With stocks you can sell it within 2 days time and receive the proceeds within 3 days. You cannot do that with real estate because selling a property takes months or even years.
 
It's important to learn about stocks because it's one of the most common financial instruments that we can invest on or acquire to grow our money. Schools only teach the basic about stocks and bonds unless you are actually taking up a course that specializes in financial management. Such courses will usually cover not just theory but also immersion in investing or trading activities. If you want to learn stock and bonds more intensively, you can take MOOCs or watch YouTube videos on the topic. Many advise diving in and investing to learn the ropes. Remember, though, that investing doesn't always translate to earning. Stocks may be a liquid asset because they are easily convertible to cash but if you sell them at a price that is less than their acquisition price due to financial emergencies, then you have actually lost money.

Profitable investing in stocks on your own requires good knowledge and understanding of the market, industry, and the specific company share. If you are an employee who simply wants to invest money and enjoy some returns on it, it may be overwhelming to learn about stocks and bonds and the stock market. You may consider having your investment funds managed by professional money managers through mutual funds company or banks offering Unit Investment Trust Fund (UITF).
 
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