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In financial markets, a share (sometimes referred to as stock or equity) is a unit of equity ownership in the capital stock of a corporation. It can refer to units of mutual funds, limited partnerships, and real estate investment trusts.[1] Share capital refers to all of the shares of an enterprise. The owner of shares in a company is a shareholder (or stockholder) of the corporation.[2] A share expresses the ownership relationship between the company and the shareholder.[1] The denominated value of a share is its face value, and the total of the face value of issued shares represent the capital of a company,[3] which may not reflect the market value of those shares.
The income received from the ownership of shares is a dividend. There are different types of shares such as equity shares, preference shares, deferred shares, redeemable shares, bonus shares, right shares, and employee stock option plan shares.
- ^ a b Kvilhaug, Suzanne (20 October 2021). Scott, Gordon (ed.). "What Are Shares? Meaning and How They Compare to Stocks". Investopedia. Retrieved 19 November 2022.
- ^ Hoang, Paul (2007). "1.4 Stakeholders". Business and Management. Victoria: IBID Press. pp. 71. ISBN 978-1-876659-63-9.
- ^ "Chapter 22 Company-An Introduction" (PDF). Accountancy. Noida, Uttar Pradesh, India: National Institute of Open Schooling. 2008. p. 242. Retrieved 24 August 2011.