2min chapter

We Study Billionaires - The Investor’s Podcast Network cover image

TIP437: Why Does The Stock Market Go Up? w/ Brian Feroldi

We Study Billionaires - The Investor’s Podcast Network

CHAPTER

Why the Stock Market Goes Up Overnight

A stock literally represents fractional ownership a corporation. Stocks were invented because they vastly simplified the record keeping for who owns how much of a given company. You, as a shareholder of those 500 companies, have a legal claim on a never ending stream of growing profitability. For that reason, the value of the s an p 500 tends to go up when measured over long periods of time.

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