Accounting
Securities
362 views
Securities are financial instruments that hold monetary value and can be traded. They fall into three categories: equity securities (stocks), debt securities (bonds), and derivatives (options, futures).
When you buy a stock, you buy an equity security — a small ownership stake. When you buy a government bond, you buy a debt security — lending money in exchange for interest payments.
Securities are traded on exchanges like NYSE and NASDAQ and regulated by bodies like the SEC to protect investors.