When you buy a share, you participate in the equity of the stock
corporation and thus become a co-owner of the company. As a
shareholder, you legally own an often tiny part of the company. This
also means that you participate directly in the success and growth
of the company – either through an increase in the share price value
and/or through the distribution of dividends. However, stock
investments always involve certain market and company risks,
expressed in value fluctuations.
Shares are a good alternative to traditional forms of investment. They can be purchased in various forms, for example, as individual shares or as part of an equity fund or ETF.
Shares are only issued by stock corporations that are listed on a stock exchange. But: Stock corporations do not always have to be listed on the stock exchange.
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