Basically stock is a surety of money there is more than 4 type of stocks. And the government provides a full organized system of stock and trade sharing and that system is called stock exchange. The stock exchange is a fully dedicate governmental department where every common people start legal trading. The stock exchange indicate the economy of that particular country also because if the government performs well. And the government is stable then investors invest in the stock exchange and the index of the market gone high.
So this is the main signal of government performance and the economy of the country. And there are many types of each and every organize company registered his company in. stock exchange and provide a significant amount of share for the public so the public can buy and trade. In public share, you have only got benefits or profit when the market price of that share is gone up.
There is another type of share where you buy shares then you owned that company. Suppose you buy 20% of shares in any company then you are the owner of 20% in that company. If you buy a significant amount then you can make decisions about the company. In trading, the share is the company bound to pay an equal amount according to the current rate of that particular stock in the market. If the company gets defaulter then stock or share of that company is waste and the value of their shares is 0 percent. There are many pros and cons of stock trading and you also call stock exchange.
The function of stock:
- Stock is a surety or its also consider a wealthy thing. Because in today s world there are many billionaires who made their fortune through. The stock exchange business and the main function of the stock market are also made a good amount of wealth here we talking about the stock trader.