Your Questions About Money Making Stocks

Richard asks…

How to make money with stocks and bonds?

Im only 14, my dad tried to explain to me about it but im confused. Can somebody please explain to me CLEARLY about stocks & bonds and how to make money from them. Thank you

John answers:

Stocks represent ownership in a company. You own one share…. Means you own a very small part of the company. Some companies have billions & billions of shares available to the public.

Bonds are a loan to a company or government usually at a fixed rate of interest.

Money is made by the increase in value of either.
Money is lost by the decrease in value of either.

The change in value is based on the “market”. It’s called supply and demand. Price (value) can change every nano second during the bidding process when the markets are open. People selling a stock or bond want as much money as they can get for it….. People buying a stock or bond want to pay as little for it as possible. When each side agrees on a price & complete the sale… That’s the price of the stock or bond…. Until the next sale by other people.

Hope that helps. Best bet is to do some reading on the subject.

Steven asks…

How much can you actually make in the stock market?

Can someone, ideally with experience, clearly explain how much one can make in the stock market and also how the stock market functions?

John answers:

There is so much to say. I’ll try to make this brief.

The amount of money you can make in the stock market is infinite. Also note that you can lose all your money much faster than you can make it.

The functions of the stock market is up (buy), down (sell), and sideways.

The two emotions that drives the market up, down, and sideways are “greed” and “fear.”

Go to www.finance.yahoo.com for more information.

Carol asks…

What are the top internet money making ideas?

im 16 and need to make money as a buisness – i have a photography one and im starting two others
but i dont know what the ‘others’ can be…

any ideas for a online buissness thats rather easy – not expensive and works?

thanks.

John answers:

To be completely honest with you, I will have to say, please do not believe that “Complete this survey for $20!” nonsense or those ads that pop up saying “I made $$$$ working online for Google!” This all, is quite obvious lies. If this was true, I would be quite wealthy. To make an honest living, the best ways to do it is through stocks or Ebay, or combine the two. I am sure you have some junk around your home, right? Well, it is very simple to put it on Ebay, give it a fair price tag, a reasonable and honest description, and then wait a few days. After you have made that money, you have two options:

Option 1) Sit tight with your money/buy yourself something nice to spoil yourself
Option 2) Create an account on Questrade or Etrade, read some books, look things up, ask questions on Yahoo! Answers, and achieve the knowledge necessary to become a smart investor, easily making you a large sum of money.

Thomas asks…

Can you really make money investing in Stock?

I want to know if you can really make money investing in stock using just the internet.

John answers:

One of the easiest ways I know so long as you don’t get too greedy.

Donna asks…

how do I make money on the stock market the right way?

I would like to make some extra money in the stock market. Are there any books that can help me?
I want to make a realistic $2K a month. How can I do it? Is it possible?

No promotions or solicitors respond, please.

John answers:

If you put money in the stock market, i.e. Buy stock in companies, there’s no such thing as “making any money” unless you sell your stock and take the cash to your hand. While you hold your stocks, i.e. Don’t sell, you aren’t “making” any money. When the share prices of companies that you hold stock in goes up, the value of your money increases. Essentially, all of your gains are paper gains that are tied up in the increased value of your investments.

Also, there’s no guarantee on the amount of money you will make from investing in the stock market. The stock market is a tool to grow your money. It is a tool for you to increase the value of your money over time.

Basically, it is highly unlikely for you to be making $2k a month from the stock market.

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