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Tip of the Day

Tip of the Day Buy A Used Car

Buy A Used Car - Next to a home, the most expensive purchase you are likely to make is a car. When looking to buy a car it is...

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Capital Gains

Definition: The money gained when a stock appreciates (goes up).  For example, if you owned 10 shares of stock that you paid $15 for and it went up to $30, you would have $150 in capital gains.

TeenAnalyst Advice: Capital gains are where you'll make the majority of your money if you invest in common stock.  Some people think you make most of your money from dividend.html">dividends.  That's wrong.

It's also important to realize that you'll have to pay taxes on the capital gains you receive.  This is called a capital gains tax.  However, if you hold the stock for a while, you might qualify to pay a reduced capital gains tax called the "long-term capital gains tax."  It's yet another benefit of buy and hold investing!

 

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Definition of the Day Affiliated Chains

Affiliated Chains -   affiliated chains are retail operations that are none competing with each other, and act as a single entity when purchasing services and goods.  Affiliated chains pool their purchase in order to obtain a volume discount on their purchases, lowering their costs, and therefore increasing their profit....

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