Stock Market Investing for Beginners, Options Trading Crash Course, Real Estate Investing, Bond Investment by Gianmarco Venturisi

Stock Market Investing for Beginners, Options Trading Crash Course, Real Estate Investing, Bond Investment by Gianmarco Venturisi

1.1 BASIC INFORMATION

1.1.1 WHAT ARE THE STOCKS?
The stocks are "securities" representative of the share capital of an issuing
company. These securities confer on the holder various rights, including the
property right to participate, based on the share held, in the company's
profit. Participation in this profit can occur both if it is transferred in the
form of dividends, and if it is intended to increase the value of equity.
It is essential to observe the difference between the shares and the bonds:
while the latter constitutes in fact the "loans" made to the issuing company,
the shares represent capital shares.

The difference is fundamental, because with the obligations the subscriber
does not participate in the corporate social life, while with the shares the
subscriber assumes the business risk and at the same time assumes the right
to affect the management of the company by exercising the right to vote.

There are different types of shares.
Ordinary shares
Savings Shares
Preferred Shares
Let's see the main differences.
Preferred shares, as can be guessed by their name, guarantee the owner of
the "privileges" with respect to ordinary shares. In fact, the preference
shares attribute of the owner of the privileged property rights, that is, with a
higher yield than ordinary shares.

Stock Market Investing for Beginners, Options Trading Crash Course, Real Estate Investing, Bond Investment by Gianmarco Venturisi