USA HISTORY

Detailed explanation-1: -Buying shares of companies implies that the investor owns a part of that company, thereby allowing him to enjoy the profit that the company makes. The part of the company owned is equivalent to the percentage of shares that he has purchased.

Detailed explanation-2: -Stocks offer investors the greatest potential for growth (capital appreciation) over the long haul. Investors willing to stick with stocks over long periods of time, say 15 years, generally have been rewarded with strong, positive returns.

Detailed explanation-3: -The primary reason that investors own stock is to earn a return on their investment. That return generally comes in two possible ways: The stock’s price appreciates, which means it goes up. You can then sell the stock for a profit if you’d like.

Detailed explanation-4: -Investment Gains One of the major benefits of investing in the stock market is that investors get the chance to earn more money. Over time, if the stock market rises in value, the prices of a particular stock can rise or fall. However, investors who have put their money in stable companies will see profit growth.

Detailed explanation-5: -Buy and Hold In short, one common way to make money in stocks is by adopting a buy-and-hold strategy, where you hold stocks or other securities for a long time instead of engaging in frequent buying and selling (a.k.a. trading).