U.S. Savings Bonds
-The Federal Government pays INTEREST to investors for loaning the money.
-Bonds are different than savings accounts.
-You agree to let the government borrow your money for at least a YEAR.
-Bonds can be held for up to 30 years.
-Bonds typically pay HIGHER rates of interest than savings accounts.
-Having a stock in a company means that you OWN part of the company.
-A company usually begins issuing shares of stocl to RAISE money for reason such as buying new equipment.
-Investors who buy stocks are called SHARE HOLDERS.
-You can SELL stocks at anytime.
-Investors buy property, such as LAND or Buildings, hoping to generate a profit.
-If your paernts own their home, this is real estate
-There are many forms of real estate such as malls, apartments, farm land, and commercail buildings.
-Collectibles are items that are relatively RARE in number.
-Investors in collectibles don't make a PROFIT or LOSS until they sell the items.
-There's a very SMALL market for collectibles, investors view them as very high in RISK.
-Often the FIRST banking product people use, savings accounts earn a small amount of INTEREST.
-They are considered to be very LOW risk.
-They tend to pay SMALL amounts of interest.
-You can take your money out at any time without a PENALTY.