Difference between Share and Stock
The term of share and stock means the same thing, of this stock is a common usage in America for shares. In India we term this as shares.
What is a Share Certificate
Share is the proof of ownership in a company. The physical proof of this ownership is a record called a share certificate. Today, shares are kept in electronic format or it is also termed as dematerialized format. You can still hold a share in a paper format, if you want.
This document is a proof of your share in the company. Your ownership in the company is in proportion to the number of shares you hold. In short, you are buying a partial ownership of the company.
A Simple Example :
Suppose a company issues 100 shares
Out of 100 issued shares, you are buying 10 shares of the company
Now you own 10 percentage of the company.
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