Do you know to which instruments you can invest?
Instruments are one of the terms. In principle, they are professional trading tools. They include shares, commodities, and forex (currency pairs). Let us explain individual instruments in more detail.
Forex
Is an international market with global currencies. On this market, one currency is exchanged for another one (buy/sell), which means that they are traded in currency pairs.
Commodities
The most common commodities are gold, silver, oil, wheat or coffee beans. Although the commodity market is relatively small compared to other markets, it is a financial market that may be a “safe harbor” in times of economic instability...
Shares
Units of equity ownership interest in a corporation that exist as a financial asset providing for an equal distribution in any residual profits, if any are declared, in the form of dividends.
Indices
The index is an indicator of the value of a certain group of shares. By trading indices, you buy all the companies that are part of the index. The major market indices are: S&P 500, Dow Jones Industrial Average and DAX PERFORMANCE-INDEX Index investing has become popular over the years, with this passive strategy outperforming more active investment over time.
