Essentials›Investing 101›Foundations

Foundations

The essential building blocks every investor needs to understand before anything else.

01

What is the Stock Market?

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2 min read

The stock market is where buyers and sellers trade shares of publicly listed companies. Here is how it works and why it exists.

02

What is a Stock?

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2 min read

A stock represents a small piece of ownership in a company. Here is what that means and why people buy them.

03

What is a Shareholder?

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2 min read

A shareholder is anyone who owns at least one share of a company. Here is what that means in practice.

04

What is the Goal of a Business?

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3 min read

A business exists to generate profit for its owners. Here is how that profit finds its way back to you as a shareholder, and which path matters most.

05

What is a Bond?

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2 min read

A bond is a loan you give to a company or government in exchange for regular interest payments. Here is how it works.

06

What is a Market Cap?

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2 min read

Market cap tells you how much the market thinks a company is worth. It is one of the most useful numbers in investing.

07

What is an Index?

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2 min read

A stock market index tracks the performance of a group of companies. Here is what that means and why it matters.

08

What is the S&P 500?

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2 min read

The S&P 500 is the most widely followed stock market index in the world. Here is what it tracks and why it matters.

09

What is the Dow Jones?

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2 min read

The Dow Jones is one of the oldest and most recognisable stock market indexes in the world. Here is what it tracks.

10

What is the Nasdaq?

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2 min read

The Nasdaq is a stock exchange and an index heavily associated with technology companies. Here is what makes it different.

11

What is a Stock Exchange?

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2 min read

A stock exchange is the marketplace where shares are bought and sold. Here is how it works and why it exists.

12

Who Regulates the Market?

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2 min read

Financial markets are overseen by regulators whose job is to protect investors and keep markets fair. Here is who they are and what they do.

13

What is a Broker?

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2 min read

A broker is the intermediary between you and the stock market. Here is what brokers do and how to think about choosing one.

14

What is a Brokerage Account?

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2 min read

A brokerage account is where your investments live. Here is what it is, how it works, and what to expect when opening one.

15

What Types of Accounts Exist?

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1 min read

Not all investment accounts work the same way. Here is a plain-English breakdown of the main types and what each one is for.

16

What is a Portfolio?

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2 min read

A portfolio is the collection of all your investments. Here is what that means and why thinking in terms of a portfolio matters.