Equities And Stocks

Equities And Stocks: For purpose of clarity,proper understanding,to enhance investing and encourage our readers,we will define an substantiate on Equity and Stocks really to broaden our horizon.Equity in the nutshell is the value of the amount of money invested in a company or invested in a business by an individual or a group and this secures total right over any claims, debts or liens against it, You understand this definition if one have ever applied for a home equity loan, Such a loan allows you to borrow against the value (equity) of your home after your mortgage has been taken into consideration of what your investment worth.

Stock: In stock, you own a particular proportional part of that Business or Company,. Stock and shares are often interchangeable, both referring to instruments issued by the company, stock is a plural term and refers more easily to categories of investment options. For example, owning $5000 shares in Corporation gives you ownership of a portion of that corporation and have the right to the share owned and its profits or losses. Ownership also gives you voting rights, that can influence the decisions of the company but depends on value of share owned, i.e board of directors.

In conclusion Equity & Stocks have similarities,and to help you in making the right investment decision we have put together links of resources for your benefit,Use the links now.,,


Last updated on November 13, 2019 8:28 pm

Equity Definition | Investopedia

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