Many of us deal with stocks and bonds (or want to!) but have no idea what are their worth. Maybe you want to try investing. You may want a better understanding of your investments. Or, if you work for a big corporation, your employer may sell shares, and you need to determine whether it’s worth the price. Either way, it is good to know the difference between stocks and bonds and have a basic understanding of how they are valued. It is also important to analyze the different market indices for stocks and bonds and interpret the theory of efficient markets.