El mercado por BIDERMAN II

The Stock Market Casino

How do public companies (the house) make money?
Public companies (the house) sell shares of stock to investors (the players) in exchange for money.

Directly or through mutual funds, investors (the players) buy shares from public companies (the house) hoping the shares of stock they are buying will be worth more in the future than the amount of money they paying for them in the present.

At the same time, public companies (the house) may chose to buy shares of stock from investors (the players) in exchange for money. They would buy back their own shares if they believed that current price was cheap compared to what their company was really worth.

Charles Biderman