Difference between stock and bond

[tyrim88]

Stock are what houses a share,the unit of stock is shares,it is actaully refered to capital when doing records,and traded in units in the stock exchange market, while bond is a guaranteed security that big organisations,government and banks issued out to the public with an indeptedness from the issuer to the beneficiary.

 

[Bigron]

When I got to the bank on Thursday, someone called me and ask me the difference between stock and bond, my answer was it is the same, stock is bond and bond is stock. I thought I have made a good definition not knowing that I just mislead the poor man.

Do anybody have a clear understanding between stock and bond. What makes them different.

Stocks are purchased with the aim of being part-owner of an organization whereas bonds are loans provided by you to the organization which will be paid back with interest. Therefore, stocks could give you more money because they could generate much more profit which is not fixed but bonds have a fixed interest rate which will be paid no matter the profits or losses of the business

 

[frederick_9]

Stocks are ownership shares in a business, whereas bonds are a type of obligation that the responsible party promises to repay eventually. This is the difference between stocks and bonds.
To invest in stocks and bonds, you must first conduct research.

 

[eenya00]

i understand the concept of the stock market atleast to a very reasonable level, i also understand how it works and the players that are involved in the stock market but not with bond, i do not really understand it.

 

[tyrim88]

Stocks are the prices of a company's(private or public limited liability company ) worth express in units while bonds are government monetary tools uses in controlling liquidity in the economy.
Government sells bond to the public whenever there is.too much money in circulation which can in turn lead to inflatiion .

Stocks are actually interest that a company has usually in the forms of unites known as shares and is issued by private organisation to the public or person of interest,while bonds are usually issued out by government.

 

[Planbizzle]

When I got to the bank on Thursday, someone called me and ask me the difference between stock and bond, my answer was it is the same, stock is bond and bond is stock. I thought I have made a good definition not knowing that I just mislead the poor man.

Do anybody have a clear understanding between stock and bond. What makes them different.

The primary distinction between stocks and bonds is that stocks give you a portion of a corporation's ownership, whereas bonds are a debt you make to a business or the government.