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Stocks and Bonds

In: Business and Management

Submitted By Milsy
Words 1126
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Stocks and Bonds
People all over the world purchase stocks and bonds everyday form many different companies. A person’s financial goals, business interests, or current wealth are factors in helping them decide how much to invest in stocks or when to purchase bonds. The main difference between stocks and bonds; is stocks equal equity while bonds equal debt. A person buying stock in a company usually has a desire to own part of that corporation or business, whereas a person buying bonds will become a creditor to that company and usually has wants no decision making responsibilities. Apple, Inc. is one of the worlds richest companies and its stock prices has had a roller-coaster ride since Steve Jobs and Steve Wozniak founded it in 1976. On the other hand, the purchase of U.S. Treasury Bonds by bondholders has had a long history of helping America in the country’s times of need, especially during wars and other financial recessions. Buying bonds has also helped many Americans save for their retirement years or helped put their children through college.
Apple began in a garage when both men had to sell their personal items and take out loans just to fulfill their first order of the Apple 1 computers they sold. Since then Apple has become one of the largest revenue companies in the world and is changing people’s lives everyday with their technology and products. Just like many other companies in the world Apple’s stock has had both good and bad years over the last twenty years, but through it all their stock has always bounced back from the edge of collapse. Compared to the 20 years of positive gains the S&P 500 companies have had since 1984; Apple, Inc. has had 18 years of positive gain over the same period, proving they are a steady and profitable stock to purchase for any investor. Apple grew their sales by over 65% in 2011 to $108 billion and they went on to exceed…...

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