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stocks info
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What Is A Stock?
Interview: Jens Hoffmann, CEO berlinstartup.de
Stock, Shares and Equity? Whats that?
Stock represents a claim on the company's assets and earnings. As you acquire more stock, your ownership stake in the company becomes greater. So, the definition of a Stock Plain and simple: stock is a share in the ownership of a company. Whether you say shares, equity, or stock, it all means the same thing
Owning Stocks
Holding a company's stock means that you are one of the many owners (shareholders) of a company, and, as such, you have a claim to everything the company owns. Yes, this means that technically you own a tiny sliver of every piece of furniture, every trademark, and every contract of the company. As an owner, you are entitled to your share of the company's earnings as well as any voting rights attached to the stock.
A stock is represented by a stock certificate. This is a fancy piece of paper that is proof of your ownership. In today's computer age, you won't actually get to see this document because your brokerage keeps these records electronically, which is also known as holding shares "in street name." This is done to make the shares easier to trade. In the past when a person wanted to sell his or her shares, that person physically took the certificates down to the brokerage. Now, trading with a click of the mouse or a phone call makes life easier for everybody!
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