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I still don't understand what the stock market actually does.
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NUMBA GO UP!!!
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>>61552311
You buy a slice of a company and then they pay you dividends when they make money. Companies that make more money can pay bigger dividends, so their stock is more expensive. For stocks that don't pay dividends it's all jewish fiction and you buy a ticket to nothing so you can sell it to someone else at a hopefully higher price. Why would the price go up? That's a very good question.
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>>61552311
nobody does
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>>61552311
It makes sure rich people stay in power
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it turns companies and their products to shit through value engineering, layoffs and general cutbacks on quality to deliver Maximum Shareholder Value.
it destroys peoples lives when it crashes, even if they don't hold any securities themselves.
it produces an entire class of leeches who sit at their computer producing absolutely nothing of value, while sucking the wealth out of everyone that does work for a living.
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>>61552311
What the STOCK market does? Or what THE market does?
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In the stock market, one can buy and sell fractions of companies which one day decided to "go public" by selling a portion of their until then private business to willing buyers in such a market.

If you own some shares of a given company, you have certain claims and rights, albeit different from those of their lenders (i. e., banks, bond-holders, etc), for instance. Shareholders own (a small part of) the company's equity (assets – liabilities = equity).

The incentive for companies to go public is the cash injection from the equity selling, public recognition and the easier access to financing. The incentive for investors to buy stocks is the total returns (price plus dividends) that they may get by buying & selling shares of companies that do well over time.
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>>61552311
>How the stock market works
Ok im gonna explain it in the simplest way humanly possible and im glossing over a LOT of information but more or less it works like this:
>Be company
>Benis Inc.
>Decide i want to become a publically traded company
>Government approves that i am a viable and legit company and lists me on the stock exchange
>BINC stock created
>There are 100 shares of Benis Inc. Each share is 1% of the company
>People who think Benis inc is valuable buy stock.
>Benis inc get money from those who buy the stock, stock holders hold a % of the company.
>Benis Inc uses that money to do Benis things.
>Becuase Benis Inc is doing good, the stock that originally listed at 1 dollary doo, is now worth 2 dollary doos
>People buy that stock from each other because they think benis will do even better and all want a piece of the pie.
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>>61552512
Unless a company sells shares a company doesnt really use money from investors in the stock market for operations. The stock price is pretty much separate from the company in that regard and only matters to shareholders.
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>>61552512
>>61552582
what happens when stocks get split, or when companies sell even more stocks after a previous batch?
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>>61552311
It's a market. A market is where people buy things and sell things. So the stock market is where people buy and sell stocks.
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>>61552311
it markets stocks, obviously
it's right in the name for fuck's sake
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>>61552311
it goes up. retard
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>>61552728
What happens if it goes down?
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>>61553023
you lose your house and your job
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>>61552311
Delegates resources
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>>61553029
Even if I didn't buy any stocks?
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>>61552330
Stocks that dont pay dividends might pay dividends in the future when enough shareholders decide its a good idea. Retard.
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>see dude complaining GODL is “too random”
>next round he hits a win
>and suddenly he’s posting probability theories like he works at CERN
>GODL turns everyone into scientists or gamblers
>sometimes both
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>>61552311
Essentially the biggest betting platform in existence, but unlike sports bets it's all insider information, big players and market makers deciding whats happening. Basically a legal scam to siphon money from bottom to top (remember the '80% of private investors lose money'? Guess where that lost money ends up)
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>>61553304
Only 80% traders lose money, moron.
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>>61552422
I’m a blue collar factory worker and I invest in the stock market. I make 80k a year, but my gains this year being a normie index fund buyer were about 25k, so I basically made 105k this year while still being a poor wagie.
Nothing is stopping the average McDonald’s worker from building a portfolio and generating wealth. Being poor is a skill issue.
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>>61552311
They offer protection for people who can't go to the cops. They're like the police department for wiseguys
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>>61552311
I dont get why prices go up and down on stocks that doesnt pay a dividend, if it doesnt pay a dividend it is just a piece of magic paper, a tulip bulb has more worth than that
also that is why I mainly invest in the UK stock market because the P/E is lower and they pay out generous dividends
>havent you lost a lot of growth by staying out of the US
yeah but I refuse to invest in things I dont get
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>>61553496
I saw a british ambulance nurse that had like 600k gbp invested and he earned 30k a year, just live frugally and invest and in the future you will get a portfolio that pays for your entire life
though kinda jelly of the brits, they can invest 20k into a tax free account AND 60k a year into a tax free pension account (the pension account also lowers your tax bill)
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>>61553496
Based. Also factory worker in europovertystan. 49k + paid overtime = 60k before taxes. I bring home 42k and invest 30k of that money, I made 3.5k this year from a 40k etf portfolio. I just started half a year ago but had 30k in savings already.
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>>61553528
Institutional investors pay a lot of money to decide the future direction of a company via holding shares.
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>>61553541
europoors are so bad at investing, Swedes have access to investment accounts that only charge a small percentage of your total portfolio in yearly tax with zero capital gains tax with no limits on how much you can put into or out of the account and they still do not invest in the stock market
the median swede has like two months of wages saved in liquid assets (cash + stocks combined)
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>>61552311
it gives money from one person to another
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>>61553192
Sounds like gambling
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>>61552512
tell me you're a dumbass academic without telling me you're a dumbass academic
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>>61553655
Shhhh...
We don't say that here.
Trading is a real job done by real professionals who study hard for a long time to be able to do what they do. It's NOT gambling because they aren't using their own money. It's only gambling when YOU lose.
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>>61552311
It used to be a way for businessmen to manage risk. You'd form something called a joint stock company, the precursor to the modern corporation. You'd be able to raise larger amounts of capital for a venture by splitting the risk amongst more people. Each would own a share of the company, and if it did well, each would do well too. It allowed for investment and enterprise far beyond the capabilities of a single capitalist. If it went bust, each individual investor bore the loss. That was then.

Now, it's basically this >>61552422
It's about inflating the value of corporate stock as much as possible to enrich institutional investors and the C-suite, whose stock options and share holdings will far, far outsize that of any retail investor, who get shat on the moment things go south. It's entirely possible to make a lot of money gambling on stocks as a retail investor, because that's what this has become essentially -- gambling, but your risk is far larger than any hedge fund, the best of which basically never lose, and indeed cannot lose because they'll be bailed out by the taxpayer if the macroeconomic impact is too high.
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>>61553561
>sweden
0,888% from your invested capital annually is a lot, if you have 500k invested. Austrian taxation is at least progressive.
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>>61552330
>1 post by this ID
imagine falling for this shit b8
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it takes your money and put it in someone elses pocket
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>>61553753
I'm still here. What questions did you have?
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>>61553753
1 post by this ID by the way.
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>>61552311
Takes money from people who work and gives it to people who don’t
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>>61552311
I stopped trying once I started using memecoins, It's faster, and besides, if I feel like I'm doing something more than just looking at charts, I have both dogs and things like GODL just because I feel that productive



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