Name: Every Stock Market Terms Explained for Beginners
Uploaded: 2025-12-17T01:38:00.000Z
Duration: 17 min 50 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

Adverbs of degree

So a stock is just a little piece of a company you can own.

Buy a share of Apple, you own a piece of its legendary apple pie.

When the company grows, the apple pie expands.

Your share stays the same proportion, but it's suddenly worth way more.

A shareholder is anyone who owns that slice.

Once you buy an Apple share, you're like part of their story.

Now an investor is someone who puts money into a company or fund and plans to stick around, hoping it grows over time.

They jump in and out fast, looking for quick wins.

They might grab Tesla stock in the morning and sell it that afternoon if the price pops.

One's playing the long game, the other's all about short moves.

A public company is one that lets anyone buy its stock.

It's gotta, er, share its numbers, follow rules and, and stay open about how it's doing.

Examples think Apple, Microsoft, Amazon, Coca Cola, Nike.

A private company is a business that keeps its shares in a small circle.

You can't just buy in on the stock market.

And they don't have to share as much info as public ones.

Ikea, Mars, SpaceX, all big names, but still private.

A stock exchange is where all the action happens.

Think of it like this super organized market where buyers and sellers meet.

The New York Stock Exchange and NASDAQ in the US are the biggest.

There's London Stock Exchange, Tokyo Stock Exchange and Hong Kong Exchange.

An index is kind of like to think of it as a scoreboard for a chunk of the market.

It tracks a bunch of stocks or bonds and rolls how they're all doing into one single number.

Oh, that's 500 of the biggest US companies like Apple, Microsoft, Amazon and Johnson and Johnson all lined up in one place.

The DAO follows a smaller bunch of really famous names.

Think Coca Cola, McDonald's, Boeing and Goldman Sachs.

And the NASDAQ leans heavy on tech stuff.

You've got Apple again, plus Tesla, Nvidia and Meta.

It's just, you know, a way to measure performance.

You can grab index funds or ETFs that copy an index almost exactly.

A bull market is a stretch of time when prices keep climbing and people feel good about where things are headed.

Prices drop a lot and stay low for a while.

A broker or brokerage is your go between with the market.

You Open an account, drop in some cash and oh, they send your orders through the exchange.

When you're picking one, look for low fees, an easy app and support that actually helps.

I use interactive brokers links in the description, but you've also got Fidelity, Schwab or TD Ameritrade.

Stocks, bonds, cash, maybe funds or other stuff.

A sector or industry is, well, a group of companies doing the same kind of thing.

Tech's all about software, gadgets, chips, energy covers.

Healthcare, hospitals, drug makers, biotech, labs.

Market cap, short for market capitalization, is a company's price tag in the stock market.

You take the stock price, multiply it by all the shares and oh, that's the market cap.

Equity is just the part of something you actually own after debts are taken out.

In the stock market, equity means your ownership in a company.

Like if you buy stock in Apple, that stock is your equity in the business.

By the way, we put this video together as your Go to Stock Market Dictionary.

So save this video so you can pop back in whenever you need.

So volatility's just how much prices bounce around.

Calmer, but like maybe a little less fun.

The number of shares traded in a set time.

High volumes like, you know, rush hour traffic D Busy and fast moving.

Low volume's more like a quiet road, just a few trades rolling along.

Slow liquidity shows how easy it is to buy or sell without er, messing up the price.

If a stock's liquid, you can hop in or out fast at close to the listed price.

Low liquidity means you might wait or settle for a worse price just to make the trade.

So dividends and distributions are just payouts from a company or fund.

Cash, extra shares, property, income, whatever form they take, its profits coming back to you.

How much income you get compared to a stock's price?

If a stock pays $2 and trades at $40, it's 5%.

Share buybacks happen when a company spends its own cash to repurchase shares and take them off the market.

With fewer shares left, each one grabs a bigger slice of profits, which can push up the stock price.

Capital is just the money you put in to help something grow, like cash you invest in a business or stock so it can make more capital gains and losses are different.

That's what happens when you actually sell an investment.

If you sell it for more than you paid, that's a capital gain.

If you sell for less, that's a capital loss.

Currency hedging contracts that smooth those swings.

If you invest in overseas stocks, so you're really watching the investment itself, not wild exchange rates.

An IPO or initial public offering is when a private company sells shares to the public for the very first time.

Index funds are investments that copy an index like the S&P 500 or NASDAQ 100.

When you buy one, you instantly own a tiny slice of every company in that index.

And they're designed to match the overall market's ups and downs.

Because they hold all the stocks in the list, they give you a built in mix of companies from different industries.

And the lineup only changes when the index itself does.

Exchange traded funds are baskets of investments you trade, just like stocks on stock exchanges.

Some super popular ones are Voo, which tracks the S&P 500, QQQ, which follows the Nasdaq 100 and IWM, which focuses on small cap stocks.

Ah, mutual funds are similar to ETF, but here's the you do not trade them on an exchange.

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Every Stock Market Terms Explained for Beginners

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