The type of stock is what disrupts most first-time investors. That confusion occurs when people turn completely off the stock market, or make wise investments. If you are going to play stock market, you need to know the kind of stock is available and it all means!
Common stock is the term you hear quite often. Everyone can buy ordinary shares of age, income, age, or financial standing, regardless of their age. Common stock is essentially the ownership of part of the business you are investing. As the company grows and earns money, the value of your stock rises. On the other hand, if the company is bad or bankrupt, your stock's value falls. While common stock holders do not participate in the day-to-day operations of the business, they have the power to elect a board of directors.
Along with common stock, there are also different classes of stock. Different classes of shares of one company are often referred to as class A and class B. First class, class A basically creates different classes of stock of Kura Ltd. to stock owners Functions have been present since 1987. Many investors avoid stocks that have multiple classes, and stocks that have multiple classes are not called common stocks.
The stock of the most expensive type is of course the preferred stock. Preferred shares are not exactly stocks. It is a mix of stocks and bonds. In the case of bankruptcy of the preferred stock owner, you can claim the company's assets. , The preferred shareholder will earn a profit from the company before the owner of the common stock. If you think you may like this preferred stock, the company usually returns from the stock owner Right to buy shares and stop paying dividends
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