Article: American Stock Markets
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American Stock Markets
A stock is a legally binding symbol of ownership in a company. When you purchase a stock, you actually become the owner of a part of a company ? a share holder. Since one company can release a lot of stocks, the ownership is typically spread over hundreds or thousands or owners. Selling shares in a company is a way for that company to bring cash to the company. If you start up a new small company, you typically own 100 % of the shares yourself. When you need to invest a lot of money in necessary equipment, you can allow people to purchase parts of your company. This will provide the company with enough cash to buy equipment.
To gain any real influence over a company, you must own a lot of the stocks or work together with a lot of the smaller owners. Today, people often buy s...
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