Reader Comments

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  3. alexpho

    One question based on these examples. If the others own shares on these companies, and the company succeeds, the company makes a profit, but the shareholders only profit based on the rise of the stock price. Right? The 90% bakery scenario is misleading because is not truly split that way. Correct? Just asking

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  5. Brendan Charles

    As far as I know what you're talking about is only in the case of a publicly traded company. In that case you buy a share of a company and only profit when the share price (and therefore value of the company) goes up.

    In the case of a private company, where all the owners have the same amount of shares in the company- since there is an equal split of ownership then there would also be equal share in the profits.

    Julie's case is the later, private company and equal ownership (10% each).

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  7. Airis Dämon

    This is an overly simplistic explanation of just one of many facets that is the stock market.  Companies and shell corporations can be created for the sole purpose of inflating the value of stock which is similar to Facebook fraud using bought likes to inflate the value of a Facebook page.  You also have the unregulated derivatives market; it is more like gambling than investing in actual stock.  Stock market crashes and bank runs were caused by companies committing massive fraud against the public, as well as high-end bankers like J.P. Morgan feeding the public credulous information to start panics.

  8. Garfield Lemanski

    Do you have to have a business? An 18 year old on the news does it at lunch and recess and on the bus and he's worth half a million dollars Is it also if you have money?

  9. More Notes from the Underground

    I love your videos so much!! They are very informative, they provide real-life examples, they're cute, they're colorful, and best of all they don't make me fall asleep after 10 seconds. THANK YOU!!!

  10. The Future

    One question, if Julie started her business with her own talent and did more contribution to the company than other investors, shouldn't Julie own more than 10% of the company?

  11. Teng Xyooj

    I have a question! What if one of Julie's friend decides that she doesn't want to own stock in the Bakery anymore? Who does she sell to? What if no one wants to buy Julie's friend's share?

  12. Victoria Dathan

    Thank you for explaining stock the easiest way possible with visuals. Every time I hear the word "stock", I'm thinking, "What is a a stock?" Now I have a better undersanding of stocks. Thank you!

  13. Mr Philosopher

    +Wall Street Survivor How do you value the company at $100k when she has 0 revenue? What valuation did you use to make other investors invest a currently non-existent business for $10k @10%; in other words, what valuation did you use to value her business at $100k? I'm confused…

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  15. Michael Murdock

    What if Julie decided to leave her business and start a new one . Does that mean that her friends won't get any more profit ? Plzz reply I'm dumb about investments.

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  18. VivaGamer1

    Can shares expire after a certain amount of time?

    for example Susan buys 10% of Julies companys share but only for 6 years of benefits then it expires?

  19. Piper Soo

    So does the profit Julie makes from her bakery stay with her and her investors simply get the difference in their shares when they decide to sell them, or is there some sort of short-term earning for them?

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  21. oscar lynch

    No thanks
    For now I think that I will just invest in the wholesale market
    (Buying packets of chips online for $0.70 and selling them for $1.50)

  22. Aryan khullar

    Is that a general case, cuz julie and everyone contribute the same amount and she does all the work.
    Is there more to it than revenue to it cuz if not then julie is getting the least out of it

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