Understanding a security before investing in it is essential. The important information is included in the prospectus. What Is a Prospectus? The U.S. Securities and Exchange Commission (SEC) requires that registered securities have a document describing the following: What the security is Company history Financial details about the business Company management team Business’s financial performance Intended use of the funds Opportunities for investing in the security Risks

Equities, commonly called stocks, represent ownership in a company. Purchasing equities is buying a share of the business. You gain a claim on part of the assets and earnings. Common stock is the most popular form of equity. The equity provides voting rights and potential dividends. Types of Equities The main types of equities include: Common stock: Provides voting rights and a share in the company's profits through dividends. Preferred stock: Does not typically offer vo

I enjoyed educating clients on investing during my time as a licensed financial coach. The financial services industry can be confusing,...

When I was in my 20s, I did not know much about investing. Fortunately, I met a licensed financial coach who educated me on financial...