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financial instruments traded in stock market
When we think stock market, often we think stock. However unlike the name, there's a whole variety of financial instruments traded in stock market, for instance, bonds, unit trusts, derivatives, among others. You don't have to be limited to only trading in stocks, as you have quite some options. Bonds for instance are a good trade. Usually they last for a fixed period to maturity. The good thing about bonds is that you know what interest you ar bound to make before hand as their interest rates are fixed. The interest rates on bonds, however, are often small. Neverthelesss they are a good form of investment. You could also choose to go the route of pooled investments. The Idea, is that there's so much available on the market other than just stocks.
Financial instruments traded in stock market include: Bonds, Shares, securities and insurance. A bond is where a person loans money from a company or government. The loaner borrows it for a fixed period of time and makes sure it is return on agreed time. Shares are bought by an individual in a certain business, this normally is for a certain percentage and then full transfer of ownership is done when agreement is done and then a shareholder starts getting monthly dividends depending on how much was speculated to receive. Securities include the guarantee of a said bought product-that is how long it is expected to last and it does not, it's to be return and owner gets another one. An insurance is where a specific company covers loss or damage for damaged properties. There are monthly premiums paid for insured products.