Whether you are 12 years or 65 years old, the stock market can feel as an exclusive club that you have not been invited. It is frightening, difficult to understand and hard to break. That is – until today.
Time to make the stock market available so that everyone can get a piece of profit cake. Because the truth is: it is certainly not that complicated.
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What’s better to break it down than the Chatgpt? Below we share how the Chatgpt explained to us the stock market as we are 12 years old – so no matter what your age is, you can start to understand how the market works and how to grow your money.
This is how Chatgpt explained about the high investment level by investing in us.
The stock market is no different from your local Vons or Safeway.
“Let’s say there is a big store where you can buy small pieces of companies like Apple, Disney or Nike. These tiny pieces are called stocks or promotions, “said Chatgpt.” When you buy a campaign, you buy a small piece of the company. It’s like having one Lego brick from the huge lego castle. “
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Thus, theoretically, these “stores”, also known as the stock market, are the place where people go to buy and sell pieces of companies. But why would the company want to sell its shares first?
“Companies want to raise money for growth, such as opening new stores, making new products or hiring people,” said Chatgpt. “So they sell their (shares) part of the public in the market.”
It is really quite simple. There are two ordinary money from shares.
“1. Buy little, sell high: if you buy a $ 10 share and then sell for $ 15 later, you earn $ 5,” said Chatgpt. “2. Dividends: Some companies share profits with you, paying you a small amount of money every few months. This is called dividend.”
While stocks can rise and expand your investment, they may also fall.
“If the company is unsuccessful or the economy is gloomy, the share price may be reduced,” said Chatgpt. “This means that if you bought for $ 10 but it decreases to $ 6, you lose money – unless you wait and expect it to be a backup.”
Have you ever heard so much before the movie show that you paid extra for tickets to buy early, just to leave the theater miserably disappointed with a movie? Similar to how the stock market works.