Importance of Investing
Investing is an important part of financial health. This will allow you to do things such as retire or build wealth. Investing your money allows your money to work for you, and grow without you having to do to much. Even if not the stock market, investing in something as simple as a high yield money market or savings account can allow you to reap the benefits of compound interest.
Types of Investments
Stocks
Stocks are a share of ownership in a company.
Exchange-traded Funds (ETFs)
ETFs are comprised of assets that usually track an index like the S&P 500
Mutual Funds
Mutual Funds are a company that pools money from investors and invests it into a basket of securities.
Bonds
Bonds are a type of of debt issued by companies or by governments that can then be bought by you, the investor. When you buy a bond you are lending money to a company or government for the agreed on amount of time and interest.
Certificates of Deposit (CDs)
These are a type of savings account issues by banks and credit unions.
