Stocks

Stock is a unit of value, or accounting in a variety of financial instruments which refer to the ownership of a company.

History

The first company to issue shares is expected to Stora Kopparberg 13th century.

Type

There are several types of shares, including ordinary shares (common stock), preferred stock (preferred stock), shares of property (treasury stock), and dual-class shares (dual class stock). Preferred stock generally has a higher priority than common shares in the distribution of dividends and assets, and sometimes have the right to select a higher like the ability to veto the merger or acquisition or the right to decline when the new shares issued (ie, preferred stock pemgang may purchase shares issued as much as he wants before the stock was offered to someone else). Ordinary shares sold on the stock exchange is the common stock and preferred stock is not traded on stock exchanges. Dual-class structure has several classes of shares (for example, Class A, Class B, Class C) each with advantages and disadvantages individually. Property stocks are shares that have been bought back from the community.

Shareholders

Shareholders (in English: shareholder or stockholder), is a person or legal entity which legally has one or more shares in the company. The shareholders are the owners of the company. Companies listed on stock exchanges trying to improve its stock price. The concept of shareholders is a theory that the company only has a responsibility to its shareholders and owners, and should work to their advantage

Shareholders are given special rights depending on the type of stocks, including the right to vote (usually one vote per share owned) in such a selection board of directors, the rights to the distribution of corporate earnings, the right to purchase new shares issued by companies, and the right the company's assets at the time of liquidation of the company. However, shareholders rights to company assets under the company's creditors rights. This means that shareholders typically receive nothing if a company is liquidated after bankruptcy (if the company has more to pay its creditors, the company is not going bankrupt), although a stock may have a price after the bankruptcy if there is a possibility that corporate debt will restructured.