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Investment in stocks for Beginners
Investment in stocks The purchase of goods that are not consumed today but are used in the future to create wealth.
Share Vs Stock • At the bottom line both are the same thing but there is a slight variation. • A share is the smallest unit, into which a company’s capital is divided, representing the ownership of the shareholders in that company. • A stock is the collection of shares of a member that are fully paid up. • When shares are transmuted to into stock, the shareholder grows to be the stakeholder.
In simple words, the capital of a company is divided into small units that are commonly called as shares. And the conversion of the fully paid up shares of a member into single fund is known as stock. • When someone says, they own a stock; they talk about their ownership of companies and it represents a claim on the company’s assets and earnings. As regards the shareholder, he or she is bestowed with the voting rights linked to stocks.
Cons and Pros • As a way of wealth creation, investing in share market has become pivotal now a day. • One of the essences of stock is its limited liability component that does not oblige you to pay a company’s debts in case of bankruptcy. • The only hostile impact you could experience is to lose what you have invested. • Being a beginner you can enroll yourself for the share market training in Chennai.