With the many investment products available, the stock market still remains the investment of choice for those wishing to put their money to work. Why has this symbol of the American economy been the vehicle of choice for more than a century?

Returns

Putting money in a bank may be safe but safe often doesn't normally make a lot of money. The stock market allows for very safe or aggressive investment activities affording the investor the ability to earn substantial profit. Even the safest stock market investing often beats the returns of a savings account.

History

The stock market has a long history of stability and profit. While historic events like The Great Depression and the 2009 Recession remain fresh in our minds, the fact remains that the average yearly return is 10 percent, according to The New York Times.

Dividends

Along with profiting when a stock rises or falls in value, many stocks pay a dividend. Simply owning a stock triggers a dividend payment similar to interest in a savings account. The difference is that stock dividends are often higher than the interest earned at a bank. This allows the investor to profit in two ways from the ownership of one stock.

Simplicity

There are advanced techniques that can be utilized to profit from the stock market, but the basics of buying or selling a stock is easy. Unlike stock options, futures markets, or currency trading, the stock market gives the part time investor the ability to profit without having to understand advanced concepts.

Wealth

Nearly all of the world's richest people trade stocks. They take risks because profit can only come with risk. If the world's richest people find the stock market to be essential to their wealth, those striving to have wealth should utilize the stock market as well.

Source:

Reasons to trade stocks

Average yearly returns from stocks

More Information:

Stock Market Basics