>> Production funding and educational outreach for Biz Kids is provided by a coalition of America's credit unions, where people are worth more than money.

A complete list of individual credit union funders is available at wxxi.org.

>> Every day, America's credit unions help members with their financial needs and with programs like Invest in America.

It's only fitting that credit unions support Biz Kids because financial education is what we do.

Learn more at lovemycreditunion.org.

>> ( grunting ) >> What?

Well, you said you wanted to get into stocks.

>> This is not what I meant!

>> You have to be specific.

"Stock" can mean a lot of different things.

>> Okay, yeah, hilarious.

I get the joke.

I meant "stocks" as in "stock market."

I want to get into the stock market.

Now, where are the keys?

>> Oh, uh... keys... keys... >> ♪ When making money is the aim ♪ These kids they bring their game ♪ They're the Biz Kids Can you dig it?

♪ They know what's up and let you know ♪ Just how to make that dough they're the Biz Kids Right on ♪ So learn a little more about bringing money through the door ♪ They're the Biz Kids Right on.

♪ >> The word for the day is "stock."

>> Chicken stock?

>> No, not that kind of stock.

You buy this kind of stock in the supermarket.

But you buy the company that makes it in the stock market.

>> When a company sells stocks, it allows people to share in the business.

You're investing in a company when you buy shares of stocks.

You can buy stocks.

I can buy stocks.

Kids, adults, anyone.

And if the stock goes up in value, you make a profit.

Of course, it can also go down in value.

You can buy a single share of stock, or you can buy stock in lots of companies.

It's called a portfolio.

It all happens in the stock market.

>> You take this pretty seriously.

>> Well, if you have a healthy stock market, you have a healthy economy.

That's important.

>> You know what else is healthy?

>> Chicken stock?

>> I'm Ionnie.

I'm the Baby Billionaire, and I hope that you can be one too.

When it comes to buying stock, invest wisely.

I actually started learning how to invest when I was seven.

I actually bought my first stock at about nine, and from there, without saving, investing any more money, I can retire as a millionaire.

( applause ) Stocks are a share of ownership in a company that anybody can purchase.

The purpose of this workshop is to teach you how to make your money work for you.

How do we make our money work for us?

Through investing.

I've travelled the country, teaching about investing at an early age so that by the time they retire, they become millionaires.

What are you all going to do with your money?

>> Invest it!

>> All right.

( applause ) Anybody can buy stock.

Investing is not just for the old crowd, but investing is... is really for us because it allows us at an early age to make our money work for us.

Start investing now and you'll reach your money goals sooner than you think.

( laughing ) Investing can be very risky.

The reason why you want to diversify your investments is so that you can also diversify your risk.

Your investments are your nest egg.

Having stocks, bonds, and mutual funds all in different industries and all in different sectors, you're able to spread your risk around, and even if one industry goes down, you still have at least five other industries holding your portfolio up.

Buy low, sell high.

Buy low, sell high.

My basic investment strategy is to recognize cool trends that I see people engaging in, find the companies that are involved in those trends, research and analyze their stock, and then find the right time to purchase their stock.

Hey Biz Kid, invest a little money now so you can have a lot of money later.

>> She's right.

Learn about stocks when you're young, and believe me, there's a lot to learn.

Fortunes are made and lost daily on the world's stock markets.

The buying and selling of stocks can be quite an adrenaline rush.

You win.

You lose.

You win.

You lose.

If you invest, get an adult to help you, and seek the advice of a financial planner to learn the toughest game in the world.

Well, next to love.

I still haven't figured out that game.

Ooh, a movie!

>> Coming this fall from Biziversal Pictures, they couldn't pick a winning stock to save their lives.

>> NASDAQ.

>> Up four and a half.

>> Brains.

>> Brains?

Well, let's check commodities.

>> Brains.

>> Brains.

>> Ah!

>> See Amateur Zombie Stock Pickers from Outer Space!

This film is rated Z for zombies.

A lot of zombies were hurt during the making of this film.... >> So what is a stock, anyway?

>> It's an investment where you buy partial ownership in a company.

>> And hopefully you'll make money on your investment, because the company's stock did well and the value of the company's stock went up.

>> The tricky part is deciding which company's stock to buy and which to sell.

>> It's kind of a gamble... >> But a gamble you can study for to help even the odds.

>> Just like the sports page.

>> You can see which teams are winning and which teams are losing.

>> Not everyone can be a pro football player... >> But in the stock market, with a little research, anybody can be part of a winning team.

>> The stock market can be like basketball in a sense that you have to have a strategy on the court, you have to have strategy in your stock market game.

You can have a high in a basketball game.

Maybe you make that game-winning shot.

It's like selling your stock when it's really high and making a lot of money.

I'm Melissa.

>> And I'm Carrie.

>> And we play the SIFMA Stock Market Game.

( bell ringing ) >> Good morning.

>> Good morning.

>> If you can log onto your stock market game portfolios, we can take a look at those this morning.

The SIFMA Stock Market Game is available to teachers nationwide.

Students have a hypothetical $100,000 to invest.

They research companies and have begun investing in stocks of their choice.

And the next day, they can see, okay, how does the stock perform?

>> So I started with a $100,000 in my account, and now my total equity is $100,789.06.

I've made a little under $800 in about four months.

>> When it comes to creating a stock market portfolio... >> ...it's all about diversification.

>> This backpack's like a stock portfolio.

>> And the things inside represent the stocks that we've bought.

>> Krispy Kreme... >> Mm!

>> Boeing, Microsoft... >> General Mills, and Coach.

>> Delicious.

>> I purchased Krispy Kreme because it's a company that I actually like going to, myself.

>> Melissa's doing really well in it, but we bought the stocks at a different time.

>> Remember to buy low and sell high.

>> I'm still in the negative with Krispy Kreme.

>> I bought Dell around Christmastime, because I figured a lot of people would be getting new computers for Christmas, and so it would go up.

It went up like, maybe $5.00 a share, and I made a lot of money off that.

>> The one that's really hurting me right now is McDonalds.

I'm hoping that will go up.

>> Whether you're on the basketball court... >> Or the trading floor... >> It comes down to strategy.

>> I've helped them minimize their risk in realizing that if they had all their eggs in one basket, then it would be easy to lose the $100,000, and the importance of diversification is exactly that reason.

>> I kind of bought a lot of shares in some companies.

I have 500 in Red Robin, but they're not doing so well right now.

>> Well, there is a little bit of competitiveness amongst students.

>> These are our rankings in the class.

For example, I'm number 41, and Kerry is down here at number 47.

>> She's beating me, but maybe I'll be beating her next week.

>> It's kind of fun to like, go back and look at how we're doing every day because the stock market changes a lot, and some days we'll be up and some days we'll be down.

>> When it comes to buying stocks... >> Remember to buy low and sell high.

Buy low and sell high, duh!

>> This is not the long-term investment I'm looking for.

>> Ho, ho, ho, merry Christmas!

And what do you want for Christmas this year?

>> I want Speedy Cars from Playtell.

>> Ho, ho.

Hold on one second now.

Don't you know what's going on with Playtell?

Their burn rate is way too high.

>> Burn rate?

>> Yeah, they've already spent $20 million and the product is late.

And I hear the antennas don't work so well.

Ho, ho, now take some advice from old Santa here and buy Harken Brothers.

>> But I want... >> Great margins, I know.

That's what I want too.

Now, I know why you really came here.

Better than candy.

The financial section of the newspaper!

Here you go.

Invest wisely.

Merry Christmas.

Oh, who's next?

>> Junior, I think I've found something.

Bring your lantern this way.

Come on, bring it over here.

Yes, oh, yes.

This is what we've been searching for.

>> Looks like some kind of ancient code.

Aramaic, Gnostic.

This must lead to the ancient treasure of the... >> No!

Didn't I teach you anything?

These... these symbols, these series of letters, are the key to unlocking the secret of the stock market!

>> Wait!

Hold on!

Hey, this is the reason you dragged me down here to this sewer underneath this temple of snakes?

>> Precisely.

Look here.

See these series of letters of three or fewer?

Those represent the stocks on the stock exchange.

And these sets of four or five letters represent NASDAQ-listed securities.

Oh, and this is very interesting.

Do you see the "P" and the "E" with the slash in between?

>> No.

Where?

>> Right there!

That tells us about a company's stock price versus its earnings.

>> Ah.

>> Dow and Professor Jones.

It would seem that you have found the sacred stock parchment.

It is full of research.

I must have it!

>> We'll be back with more Dow Jones and the Temple of Finance right after these messages.

Oops, we're back.

>> Think you can pick a winner, Bad Guy?

>> Are you kidding?

With all of that information, I'll be incredibly wealthy.

Give it to me now!

( car horn honking ) >> Come on!

>> Mom, hold on!

I apologize.

My ride is here.

>> I thought you were just going to say hi!

>> Mom, hold on!

( car horn honking ) >> If you buy a share of stock in a company, you now own a tiny piece of that company.

>> To find out how that particular stock is doing, you check its individual listing.

>> But how the market as a whole is doing, that's when you need the indexes.

>> Yo, Teach, what's an index?

>> Index, indices... >> We hear about them all the time on the radio, on TV.

>> The Dow Jones Industrial Average... >> The NASDAQ... >> And the S&P 500.

>> They are the three main economic indexes, and an index is a system of tracking how well certain companies do over time.

>> On a basic level, they give you a snapshot of where the overall market is at that moment.

>> The Dow Jones gives you a view of 30 large companies that represent industry... >> Transportation... >> And utilities.

>> The S&P 500 gives you a broad view of 500 of the most widely traded U.S. companies.

>> The NASDAQ charts stocks that are more technology-based and which tend to be more volatile.

>> By using indexes, you can watch overall trends in the market.

>> By doing that, you can figure out when it's a good time to get in... >> And sometimes more important, when to get out.

>> Speaking of getting out?

>> Gentlemen, it looks like the indexes are up today.

>> Yes, the indices are up.

>> Well, I hate to beg, but this one's not up.

>> Yes, that, that index is down.

>> All right, let's check the sports page.

Look!

The home team won!

>> What can I do for you Hover-Puppy?

>> I want to invest in the stock market.

>> That's a brilliant idea.

Ruff.

>> But I've never done it before.

>> The stock market can be risky.

>> That's what scares me.

I'm a young pup and I don't want to lose all my money.

I've never done this before.

You've got to give me some advice.

>> Well, before you invest, do your research and invest in a company you believe in, and diversify.

>> Diversify?

What does that mean?

>> It means don't put all your eggs in one basket.

>> Eggs in a basket?

>> You don't want your dog food in one bowl.

Too risky.

>> We're the Redhawk Fund.

>> We balance risk... >> And reward.

>> Can you... can you give us the one-two-three?

>> We're the Redhawk Fund.

>> We balance risk... >> And reward.

>> That seems pretty high to me.

>> Yeah.

>> To have that much debt in your company.

>> So the Redhawk Fund is the team of student managers who oversee right now $300,000 of our school's endowment money.

>> So an endowment fund is basically a pool of the school's money.

>> We invest that money for the purposes of the school so it can be used later on.

>> And it's a place where that money can grow.

>> I think we were a lot more nervous when we started out.

We were really afraid of making a mistake.

>> Yeah, this is actual money.

Like, this does... we do need to follow this benchmark, because it could be taken away from us.

>> So we use indexes like the Dow Jones, NASDAQ, and the S&P 500 to keep an eye on what's happening in the overall market.

>> If we wanted to, we could zoom into the U.S. stock market, and right here, it breaks it down into all the different sectors.

You can see oil and gas or financials or technology.

>> And here's all the companies that make up that sector.

And if we wanted, we could go ahead and go research that company.

>> If the market is doing well, we need to do well too.

>> I am confident that we'll be able to stay above $300,000 from now on.

>> Hey, Biz Kid.. >> A good portfolio... >> Balances risk... >> And reward.

( laughing ) >> If you put all your money into one stock, you could lose everything.

>> We managed to sell the stock right around this part right here, and we got really lucky, because this is a very volatile stock when it's so dependent on the news.

In October, the price fell from $50 down to $35.

I mean, this is pretty much just a straight down drop in the stock price.

>> The fundamental way that we think about risk and reward in the fund is that usually, as you take on more risk, then the only reason you would do that is you're expecting to get more reward out of a company.

>> So we split our money up.

It's called diversification, and it's one way of managing that risk versus reward.

>> When we're buying a stock, that stock can't make up more than five percent of our total portfolio.

If one stock does horribly, we don't want it to be a terrible year for us.

>> That's why we spend as much time for each company that we do researching.

So all of us have to do research on a company, build a report, send it out to the others, read them, and then talk about it.

>> Definitely like, traditional, like, safe havens tend to be kind of like gold.

U.S. bonds can also be a safe investment.

>> Nike's been one of our strongest performers.

You can see it shot up all the way to $92.

>> Stock prices are going to jump up before that.

>> Well, I think it's one we should keep a close eye on.

>> This market's going to rebound, and this stock's going to do it before the market does.

>> The team setting is helping us all become better investors.

The best scenario is to try and spread your money out so you're not taking too much risk.

>> What's the word for that?

>> Diversification.

>> Hey, Biz Kid... >> An investment club... >> Is a great place... >> To learn about stocks.

>> For today's Stock Club meeting, I thought I'd show you an actual share of stock.

Here's a stock certificate for you, and for you... >> Gee, I wonder if I could be part of Jenny's portfolio.

( laughing ) >> ...stock certificate for you.

There you are.

There you are, Mary.

I think that stock's good.

And... >> ( sighing ) I need to diversify.

Tommy's stock is so low, I better sell and cut my losses.

>> Hey, Capitalist Peg here.

When it comes to stocks, do your research before you invest.

>> Hey, Honeybunches of Peg.

>> Speaking of a poor investment.

Brian, what's up?

>> I invested in my buddy Teddy's skateboard company.

He had an idea to make the wheels out of granola so you could stop and eat when you get hungry.

>> Oy, sounds awful.

What happened?

>> Unfortunately, it's not working out as planned.

He got attacked by a pack of squirrels!

The stock took a nosedive and now I'm broke.

>> Well, there you go.

Next time, do your research.

>> I did do my research.

Granola's yummy.

>> Eh, Brian, go get me my coffee.

>> At first glance, the fi... at first glance, the st... the stock listings in the financial section of your newspaper may seem hard to figure out.

But if you can read the sports page, then this should be a breeze.

>> Ah, found it!

>> This is an example of a stock listing you can find in any financial paper.

Starting on the left, the first two columns show the most and the least you could have paid for that stock over the previous year.

>> What stock?

>> That's the third column, the stock's company's name.

Column four are the initials the company goes by in the stock listings or the stock ticker.

>> Rite-Aid is RAD, right?

>> Exactly.

And the other columns represent how much trading the stock had been doing and if it's paying dividends, which is a little extra money at the end of a profitable year.

>> All that in this little space?

>> Well, there's even more.

The last column shows whether or not the stock made or lost money today.

>> You're right.

This is just like the sports page.

A quick glance, and I can see exactly how my team's doing.

>> Right.

And your team is your investment.

And with the information you're getting in the financial pages, TV, or the internet, you're the one who figures out how to make the play.

>> Just keep your eyes on the goal.

>> And make sure you don't fumble.

>> Fumble on the conversion attempt.

And that's going to prove the big, big... >> But I know the real reason you're here.

The financial section!

That's right.

There you go.

Invest wisely.

Have a good one.

Oh, hello.

>> Cash Cow here.

Investing in stocks can be risky.

I try to buy only the best.

I read the financial pages, I research on the computer, and I check stocks on the phone.

If you're a young calf, get an adult to help you.

Stocks are utterly fun!

>> I'm Fabian, and I invented the Oink-A-Saurus iPhone app.

( pig snorting ) This iPhone app allows you to invest imaginary money.

It helps kids learn to save and invest wherever they are.

You can type in any product-- for example, the iPhone-- and it can tell you the stock behind it, the news and a graph, and you can buy it or sell it.

>> You don't actually buy them.

It's, you know, as if you had bought them.

You can see, you know, how much money you would've made.

So that's the price you bought it at, the price you sold it, and that's your profit.

Also, it's very portable, so you can save and invest wherever you are.

I saw a competition funded by the New York Stock Exchange to invent something to help kids learn to save and invest.

I didn't know if I was going to win.

I think there were over 2,000 applicants.

I was really excited when I learned that I had won the contest.

So that's how I made Oink-A-Saurus.

( bell ringing ) I was given this at the New York Stock Exchange after I rung the closing bell as a memento.

( bell ringing ) Well, you know, when you think of saving, you think of pigs, so... ( pigs snorting ) ...my logo, you know, the piggy bank.

That's where the "oink" came in.

The twin umbrellas stand for save for a rainy day.

Oinkers should save for a rainy day.

In real life, I invest real money into my stock portfolio.

I have bought Google, Apple, Microsoft.

I bought a lot of Apple.

I just sold it recently.

I actually bought Apple when it was at $134, and now it's at $330-something.

Yeah.

( laughing ) I really like investing in companies because, you know, you can make some money off of it, but you can also be supporting a company that you really like.

I like investing in companies that, do the three P's: People, Planet and Profit.

That means they treat the planet well-- you know, they don't pollute it.

They treat their people well, give them fair wages, as well as making some profit.

>> Hey, Biz Kid, take stock in your future.

>> What is it, Dear?

>> Look here, Pa!

Booyah!

It says right here in the paper our stock is up.

>> I saw that on my app.

>> I am here finally.

The traffic was truly loco!

People act like they have never seen a man on a horse with a brass saddle and pom poms!

>> Can I help you?

>> Ah, yes.

I heard that you have a bull market, and as I am the greatest bullfighter in all the world, I am here to fight these bulls.

>> Oh, that's just a term we use here in the stock market.

They're not real bulls.

It just means that the market is strong.

>> Like bull?

>> Hm?

Hm.

>> If you're the kind of person who needs information on how your stocks or the market is doing... >> Just turn on one of the financial channels.

>> They all display this information in kind of the same way.

It looks something like this.

Now, up at the top, you have where the indexes are displayed.

So the S&P 500, the NASDAQ, and the Dow Jones.

>> Looking at all this, you can tell how the market is doing at any given time.

>> Right next to that shows how many points it's either up or down.

>> The green and red triangles are a really easy, simple way to tell if the market is up or down.

>> At the bottom of the screen, you see how individual stocks are doing.

>> This is the company's name, and this is it's ticker symbol.

>> Now "K" is an abbreviation for 1,000, so in this case, 200,000 shares were traded.

Right next to that, it tells you the price it was traded at.

So today it was traded at $16.25.

>> And here's the amount that it's gone up or down since yesterday's closing price.

So in this case, 11 cents.

It's easy to tell if the stock is going up or going down.

Green means it's going up... >> And red is going down.

>> And if you don't see the stock that you're looking for, don't despair.

It should scroll by again.

>> Hey, I've got stock in that company.

Hold... wait!

>> Dear Diary, Lord Gates approached me yesterday with yet another of his crazy investment schemes.

Replace the abacus?

Preposterous!

Between him and Lord Jobs with his self-writing tablet, I think I'm surrounded by lunatics.

I'll keep my money safe and sound in tulip stock, thank you.

Those Dutch sure do know their stuff.

Always yours... >> I'm Jeff.

I'm a painter and I'm also a stock market investor.

>> We assume that I was born with NF, but nobody really knows.

Neurofibromatosis is a genetic disorder.

It can cause a tumor, and I have one sitting on my optic nerve.

My tumor's name was Clod.

He was my little nemesis.

Once I got to sixth grade, I started chemotherapy.

I started painting for something fun to do during chemotherapy and radiation.

My first real commission when I got paid was at age 13 when my eye doctor asked me to do a canvas for the charity that she supports the most, and that's how I really started to do canvases and painting.

So overall, I have painted 668 canvases.

I've donated over two $200,000 to charity.

Everything down here currently is a commission of some sort, and that is what allows me to buy my stocks.

I bought stock when I was 14 and started my IRA when I was 14.

I think it is important for every kid to have some sort of mentor before they buy stocks.

I asked people that I knew that had been successful.

They said, "Well, you should get ones that you trust that are Blue Chip stocks," and, I listened.

These are all my investments.

The stocks that I have are Pro QS, Microsoft, Williams Pipeline, YUM China-- because I bought YUM, and it's also in China-- General Electric... oh, I forgot, I also have Berkshire Hathaway.

I wrote Warren Buffet a letter when I was like, 14 or 15, saying, "I hope to someday meet you and maybe buy one of your stocks," and he's the CEO of Berkshire Hathaway and he is worth $62 billion.

So I probably made a great decision buying his stock after I saw it seems to always do well.

I buy a new stock at the beginning of every year for my Roth IRA.

If I have the funds to buy new stocks, I'll buy one or two more in that year.

And then for kids that are investing in the stock market of any age, my advice is buy what you believe in and what you understand.

I don't have to see my stocks to know that they're earning me cash.

>> Yay!

>> Stocks are up!

Dance, elf, dance!

What?

Oh, yeah!

Oh, oh, going with the worm.

Oh, that was fantastic, Elf.

>> Hey, Joe.

What's Biz Kids trading at today?

>> Biz Kids?

It's at 22 and 3/8!

I'm telling you, that stock is on fire.

You better get in now.

It's going through the roof.

You want some?

>> You can't make money unless you know math, it's Money Math!

>> So how do you calculate a profit from selling stocks?

Say you've purchased 100 shares of Biz Kids Computer Works at $6.50 per share.

That's a total investment of $650.

One year later, you sell all 100 shares at $10.25 per share and make a profit of $375!

Holy moly!

>> Well, we've taken stock of stocks.

>> Study the market... >> To make a profit.

>> Buy low, sell high.

>> Know when to get in... >> And when to get out.

>> Speaking of getting out?

>> Oh, right, the key.

>> Now what would you like for Christmas?

>> A Barbie head.

>> A Barbie head?

Absolutely.

That sounds great.

I want one too.

>> The NASDAQ... ( laughing ) >> I am a bullfighter.

>> And a very good one, I'm sure.

But here in the stock market, "bears" and "bulls" are just terms we use as shorthand.

>> Sorry we took so long.

>> They expect you to run with the bears!

>> Oh, no!

I am a bull runner!

I am afraid of the bears!

>> Heard there were some pesky bears around here abouts.

( bear growling ) There he is!

Duck!

( bell ringing ) ( cheers and applause ) >> Need some more bites of Biz?

>> Check out our Web site.

>> If you have your own business, we'd love to hear about it.

>> Plus, we have resources that can help you.

>> Just click on bizkids.com >> And let's get down to business.

>> Some Biz Kids business.

( metal guitar solo ) >> Production funding and educational outreach for Biz Kids is provided by a coalition of America's credit unions, where people are worth more than money.

A complete list of individual credit union funders is available at wxxi.org.

>> Every day, America's credit unions help members with their financial needs and with programs like Invest in America.

It's only fitting that credit unions support Biz Kids because financial education is what we do.

Learn more at lovemycreditunion.org.

Captioned by Media Access Group at WGBH access.wgbh.org