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Innovation
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Accountability
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Trust
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Stocks
A buyer of a company’s stock becomes a fractional owner of that company. Owners of a company’s stock are known as its shareholders. They can participate in its growth and success through appreciation in the stock price and regular dividends paid out of the company’s profits.
Bonds are debt obligations of entities, such as governments, municipalities, and corporations. Buying a bond implies that you hold a share of an entity’s debt and are entitled to receive periodic interest payments and the return of the bond’s face value when it matures.
Funds are pooled instruments managed by investment managers that enable investors to invest in stocks, bonds, preferred shares, commodities, etc. Two of the most common types of funds are mutual funds and exchange-traded funds (ETFs).