Another list of terms - Assets, bonds, stocks and securities

We went through derivatives yesterday, so the focus is on assets, bonds and stock exchange today.

Assets are everything of value, owned by a person or company.

• Tangible Assets - financial and fixed assets including bonds, stocks, cash, building, equipment etc
• Intangible Assets - nonphysical resources and rights such as copyrights, trademarks, patents etc

Bond is simply a loan - in the form of a security wherein the issuer owes the holder a debt and has to repay the holder (along with interest) at a later date, known as maturity.

Securities are negotiable instruments representing financial value. Categorised into debt securities and equity securities.

Stocks is often looked at as a synonym of shares. The share of a stock means a share of ownership in a company. Stocks can also refer to different financial instruments such as government bonds or securities.

Stock Exchange or Securities Exchange or bourse (European) is a corporation or mutual organisation which provides trading facilities to exchange stocks and other securities.