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A stock is a share of ownership in a company that allows investors to claim a portion of the company's assets and earnings. When you buy stock, you become a partial owner of that business, entitled to voting rights, dividends, and the potential for capital appreciation. In this beginner-friendly guide, we follow the story of Joe's Dough pizza shop as it transforms from a local business into a public company. This visual journey explains how corporations raise capital by selling ownership stakes to investors and how the stock market functions as a giant auction where prices fluctuate based on supply and demand. *Key concepts covered in this video:* • How companies issue stock to raise funds for expansion • The difference between owning stock (equity) and lending money (bonds) • Two ways stocks make money: dividends and capital appreciation • Common stock vs. preferred stock - voting rights vs. payment priority • Primary market (IPO) vs. secondary market (exchange trading) • Dilution and buybacks - how your ownership percentage can change • The risk hierarchy in bankruptcy: bondholders → preferred stockholders → common stockholders *Why this matters for investors:* Understanding stocks is fundamental to building wealth. Historically, stocks have outperformed most other investments over the long term. Whether you're opening your first brokerage account or reviewing your portfolio strategy, knowing what you actually own makes you a smarter investor. 📺 Subscribe to Finance Terms in 5 Minutes for more clear, visual explanations of financial concepts! 👍 Like this video if you found it helpful 🔔 Turn on notifications so you never miss an episode #Stock #股票 #Investing #Finance #StockMarket #FinanceEducation #InvestingForBeginners #WealthBuilding #FinancialLiteracy