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Fritch, TX 79036

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Fritch, TX 79036

(806) 857-3319

(806) 857-3324

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Make Your Money Grow with Investments

When you invest your money to make it grow, you buy something that will become more valuable in the future than it is today. When it is worth more, you can sell it for more than you paid. This is called making a profit.

One example of an investment is stocks. Stocks are shares of ownership in a company. If a company has divided ownership into 50 shares and you buy one share, you actually own one-fiftieth of the company.

If you buy shares in a company today and the company later becomes much more successful, your shares will be more valuable and you can sell them at a profit. But if, instead, the company later becomes less successful, your shares will be worth less than you paid for them and selling them will result in a loss instead of a profit.

Whenever you invest, you take a risk. You can make a lot more money this way than you can by depositing money in a savings account or buying a savings bond. But you can also lose all or some of your capital (another word for money you invest).


How to Pick the Right Stocks

When we look at investing for profit, we worry about risk. We want to reduce our risk by knowing as much as we can about the company we might invest in.

It’s not hard for you to find out which companies are successful. Kids are some of the best stock pickers around! Just ask yourself and your friends these questions:

  • What brand of soda do you buy?
  • What video games do you like best?
  • What brand of sneakers do you wear?
  • What clothing stores do you shop in?
  • What breakfast cereal do you eat?

When a lot of kids tell you they buy from one company, you can do some research to find out if it is a moneymaker. One of the easiest ways to do this research is to look at the financial pages in the newspaper.




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