Your net worth is the total value of your assets minus the total value of your liabilities. Because this number represents the value of everything you own after accounting for all of your debts, it indicates your financial health. Knowing your net worth provides substantial insight into your financial situation. This value helps you track your progress toward monetary goals. When you are starting, you should regularly track your net worth. Once you are more established, c

Investing is a strategy to grow your money over time. You can pursue long-term goals such as purchasing a home, funding your retirement, and paying for your child’s education. Investing involves risk in exchange for potentially great returns over time. The sooner you begin, the more time your money has to grow. Benefits of Investing The benefits of investing include the following: Compound Growth Compound growth occurs when your investment return generates an additional

A stock is a security that gives stockholders a share of ownership in a company. Companies typically sell shares to gain money to grow the business. A company’s stock is first sold at the initial public offering (IPO). After that, stockholders can resell their shares on the stock market. Because a company’s expected earnings typically drive its stock prices, the prices can rise or fall. Types of Stocks The types of stock include: Common stock: Common stock entitles owners