What's wrong with the stock market?
The biggest problem with the stock market is that participants think there's something wrong if stocks don't go up every day! The most likely reason for the action is that the market was jammed higher every day for at least two weeks at the end of the year and we need to consolidate.
Should you be worried about a stock market correction?
If you’re worried about a big drop, you could rotate part of your portfolio into some less-risky stocks to protect from a potential market correction. In addition, sharp moves down can also be opportunities to buy more stocks and set yourself up for future gains, according to Abrams.
How many stock market worksheet PDFs are there?
Use these 17 stock market worksheet PDFs (and stock market lesson PDFs) to engage your students, kids, and teens. Teaching students about investing, and looking for some killer stock market worksheet PDFs (that also happen to be free)? I’ve got you covered.
Is the market in for a 10% correction?
Some analysts are concerned that the market could be in for a correction – meaning a slump of 10% or more – after the Dow and S&P 500 earlier this week rallied to record highs. Currently, the S&P 500 sits about 2% below its all-time high, and the Dow is about 2.5% below its own record.
Volatility is common
First, accept market volatility — which is relatively common — as a normal part of the process of investing and the best way to outrun inflation, said certified financial planner Brad Lineberger, president of Carlsbad, California-based Seaside Wealth Management, which manages about $165 million in assets.
Make a plan and stick to it
Sticking with your overall plan is generally the best thing you can do through a market slump, instead of panicking and selling too soon.
Have an emergency fund
Of course, even if you know that stock market volatility can benefit you in the long-run, financial advisors still recommend having a cash emergency fund on hand so that you can make it through a market meltdown without selling.
2. Playing an Investment Game
The Consumer Financial Protection Bureau came up with this new stock market worksheet where kids work through why they think a company's stocks rose or fell.
4. Stock Investing 101 Worksheet
This is a free Microsoft Word document that walks your students through three familiar companies on the stock market: Amazon, Home Depot, and General Motors.
7. Buy, Sell or Hold?: An Overview of Investing
Practical Money Skills offers both a teacher’s guide and student worksheets talking about what the stock market is, plus has them work through the price to earnings ratio for real-life stocks. This is Lesson #21, FYI.
9. Dividend-Paying Stocks
Here’s a great, free teaching guide + worksheets on dividend-paying stocks.
11. Are Stocks a Risky Long-Term Investment?
Your students will analyze stock markets returns from 1871 to 2014, and then answer questions to determine whether or not it’s a good idea to invest in stocks over the long term.
12. Building Your Future: Accumulating Wealth
Are you ready for a really comprehensive set of stock market worksheets and lessons for students?
15. Teaching Financial Crisis
Looking to tie in your stock market teaching with actual history about financial crisis (where the stock market has played a major role)?
What are the two ratios that have correlated most with stock market gains?
In the past 50 years, there have been two single ratios that have correlated most with stock market gains. Low P/B ratios and low P/S ratios have done far better than any single one parameter. As James O’Shaughnessy proved in his book What Works on Wall Street, when these single ratios are implemented with various other strategies, the downside risk is greatly reduced, while positive gains are more commonly seen. Combine these ratios with the other categories of Investing for Beginners 101 to really see some results.
Why are P/B and P/S ratios so successful?
big reason why these ratios are so successful is because they both indicate if a stock becomes overvalued from the price part. As the P/B and P/S ratios become higher and higher,there are more people buying the stock and driving the price up, making it less
What is a low P/C ratio?
The next parameter to consider is price to cash (or P/C) ratio. This ratio reflects the profitability of a company and their ability to generate cash. Basically by buying a company with a low P/C ratio, you are getting access to their cash flow at a low price. A stock with a P/C of 10 means you are paying $10 for $1 of cash generated.
Is debt to equity risk?
Debt to equity is a common measure of risk in investing. If you think about it, it makes sense too. A person more likely to become bankrupt is one with too much debt, and the same is true for companies.
