ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Most stock that people invest in is common stock. Common stock represents partial ownership in a company, with shareholders getting the right to receive a proportional share of the value of any remaining assets if the company gets dissolved.

Detailed explanation-2: -A fractional share (stock slice) is when you own less than one whole share of a company. Fractional shares allow you to invest in stocks based on a dollar amount, so you may end up with a fraction of a share, a whole share, or more than one share. Do fractional shares pay dividends?

Detailed explanation-3: -When a company issues stock shares, every investor owns a fraction of the total shares outstanding. Imagine a simple example of a company that issues 100 shares. If you purchase one, you own 1/100 of all outstanding shares. But with fractional shares, you don’t have to buy a full share.

Detailed explanation-4: -A stock, also known as equity, is a security that represents the ownership of a fraction of an issuing corporation.

Detailed explanation-5: -Blue chip stocks. These are organizations with solid foundations and decades or centuries of record. Growth stocks. Growth companies are in great flavor. Speculative stocks. These are companies with no actual fundamental logic. Range bound shares. 25-Dec-2016