ELI5: Explain Like I'm 5

Well

The stock market is like a big show with a lot of people all acting like they know what’s going on. But really, it’s a lot like a game of buying and selling. People buy and sell pieces of companies, called ‘stocks’. Each stock might be for a different company like Apple or Disney. When you buy a stock, you are buying a tiny piece of that company. As the company does well, the stock will go up in value and you might make money. But if the company does poorly, the stock could go down and you could lose money. That’s why it’s important to know what kind of companies you are investing in, but the stock market can be a risky game.