shares

All of the shares

Many people are familiar with the concept of securities thanks to shares, but what exactly is a word of action, often do not understand. Let us be clear on this concept.
Share is an emission securitiesã it provides for the rights of its owner shareholderà to participate in the process of management of joint-stock companyì receive a certain part of profit of the joint stock company and part of the property that remains after its liquidation.
Shares can be ordinary and preference. First give the right to participate in management of the companyì as well as to participate in the distribution of profits of the company. Payment of dividends on this type of shares shall be made from the net profit of the joint-stock company.
Preferred shares may restrict participation in the management of the company or give them additional rightsà as well as have a number of advantagesâ the primary payment of the value of shares in case of liquidation of the company and payment of dividendsâ the possibility of getting a guaranteed profit.
With shares also associated with the shares. There are a controlling interest of this concept is defined as the proportion of shares that provides the holder the opportunity to take decisions on issues of operation of the companyî including assign management staffâ a blocking stake shares - shares, which gives the right to veto the decisions adopted by the Board of Directors of a decision. Most often, this stake is more than 25% of all shares.
There are different types of value of shares:
1)face - value of which is indicated on the front side of the shares (face value). All ordinary shares of the joint stock company shall have the same par value;
2)emission - value of shares, which they had at their initial offering and on which they were acquired first holder. If the issue price of shares is increased, a process known as emission revenue or income;
3)market - the price at which the purchase and sale of shares on the secondary market. It is formed in trading on a stock exchange and displays the ratio of offer and demand on given shares;
4)book price is the quotient resulting from dividing the price of the net assets number of shares issued in circulation.



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