Securities Markets:Financing & Investing Opportunities

Debt financing - selling bonds: company owe money - must repay until their maturity date, must pay interests too.
Equity financing - selling stocks: company sell ownership - don't have to pay dividends but stockholders can vote
2 types of stock- common&preferred
Capital gains - the positive difference b/w the purchase price of a stock & its sale price
Mutual fund - buy stocks&bonds and sell a fund(a variety package) to individuals
Big 2 exchange market in US : NYSE (old, big companies), NASDAQ (new, big, techonological companies)
SEC - Securities&Exchange Commission - federal agency that investigate insider trading/ company should send prospectus to SEC when it wants to sell its stock
Commodity exchange - exchange cattles, foreign currencies, wheat etc :
very risky