human
I'm a little confused by all of these different types of investments. Can someone explain them to me?
assistant
Investing is about making money from assets that you own, such as stocks, bonds, and real estate. When you invest in the stock market, you are buying shares of publicly traded companies. When you buy a share of a company, you become a part-owner of that company and receive dividends (payments) when the company makes profits. When you sell your shares, you can either make a profit or lose money depending on how much the price has changed since you bought it. The same principle applies to bonds and real estate, but with different names.