
Fritz Mowery, the chief investment officer and president of Mowery Capital Management in Dallas, Texas, has been working in the finance sector for more than 30 years. During that time, Fritz Mowery has strengthened his knowledge with various securities.
Securities are financial instruments that have some monetary value. This includes bonds, exchange-traded funds, and stocks. Securities can be traded between multiple parties. Securities are further divided into several different types, the most common of which are debt and equity securities.
Equity securities are company stocks. Investors who purchase this publicly-traded stock own a piece of the company that sold the share. They receive money from their investment by either selling the stock later on at a higher price or taking dividends from the business. Stocks are riskier due to their higher level of volatility. it is possible to lose money when selling stocks or bonds.
Meanwhile, debt securities represent borrowed money that must be repaid. This most often includes certificates of deposit and corporate and government bonds. Also known as fixed-income securities, debt securities can grant investors periodic fixed-interest payments in return for them lending money to another entity.