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Academy/The Basics/What is a Stock?
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Lesson 1 of 3

What is a Stock?

Own a tiny piece of a company

When you buy a stock, you're buying a small piece of a company.

If Apple has 1 billion shares and you buy 1 share, you own 0.0000001% of Apple. Tiny, but real!

Why buy stocks?

  • Companies grow → Your piece becomes worth more
  • Some companies pay you cash just for holding (called dividends)

The risk? Companies can also shrink or fail. Your piece becomes worth less.