Stock is a ticket issued by a joint-stock company to raise funds. If you buy it, it means that you are an investor in the company.
Fund companies raise funds to invest in various securities including stocks, futures and bonds instead of customers.
Futures are forward contracts (not spot contracts) of commodities, including agricultural products, industrial raw materials, financial securities and even future weather forecasts.
Because everyone is constantly buying and selling, the prices of stocks and futures are changing every second, and the difference can generate certain income, so everyone is speculating in stocks and futures.
Stock speculation can only be bought at a low price and sold at a high price, but there are dividends and rights issues.
Speculation futures can be bought at a low price and then sold at a high price, or sold at a high price and then bought at a low price. Futures contracts are high-risk margin transactions.
foreign exchange trading
Foreign exchange transaction is the exchange of one country's currency with another. Different from other financial markets, the foreign exchange market has no specific location and no central exchange, but transactions between banks, enterprises and individuals through electronic networks.
"Foreign exchange trading" refers to buying one of a pair of currencies at the same time and selling the other currency. Foreign exchange is traded in the form of currency pairs, such as Euro/USD or USD/JPY.
The foreign exchange market, also known as "Forex" or "FX" market, is the largest financial market in the world, with an average daily transaction volume of more than $65,438+$0.5 trillion-equivalent to more than 30 times of the total transaction volume of all securities markets in the United States.
From the nature and types of transactions, foreign exchange transactions can be divided into the following two categories:
1. Basic foreign exchange transactions to meet customers' real trade and capital trading needs;
2. On the basis of basic foreign exchange transactions, foreign exchange derivatives transactions are conducted to avoid and prevent exchange rate risks or for foreign exchange investment and speculative needs.
The basic foreign exchange transactions belonging to the first category are mainly spot foreign exchange transactions, while foreign exchange derivatives transactions include forward foreign exchange transactions, foreign exchange selective transactions, swap transactions, swap transactions and so on.
Although several investment tools have the above differences. But there are also many connections between them:
Funds, stocks and bonds are all securities, and investments in them are all securities investments. The division of fund shares is similar to that of stocks: stocks are divided into "shares" and their total assets are calculated; Fund assets are divided into several "fund units", and investors share the value-added income of the fund according to the share of holding fund units. Contractual closed-end funds are similar to bonds, and the investment will be recovered once the contract expires. In addition, stocks and bonds are the investment targets of securities investment funds, and there are stock funds and bond funds specializing in stocks and bonds abroad.
Distinguish bonds from stocks, bonds from funds.
For our families or individuals, several common investment tools are bonds, stocks and funds. If you don't know their edges and corners, sometimes it is really difficult to distinguish who is superior and who is inferior, and it is also difficult to find the north when investing. After reading the comparison between bonds and stocks, bonds and funds, we can easily see that bonds are the most suitable investment tools, which are both safe and have considerable returns.