Long-form note
Stock market basics
Orders, spreads, index funds, and volatility. Introductory notes without stock picks.
Orders and spreads
Market orders fill at the best available price, fine for liquid ETFs. Limit orders cap price but may not fill. Bid-ask spread is a hidden cost on thin names.
Index funds
Total-market funds hold hundreds of companies; fees measured in basis points compound over decades. International funds add currency and region diversification.
Volatility
Drawdowns of twenty to thirty percent happen in broad indices. Plan contributions assuming multi-year horizons. Panic selling crystallizes paper losses.