Stocks or Shares are units of ownership in any company listed on any stock exchange around the world. This asset class offers capital growth when the market valuation per share of the company increases and offers an equal profit share to each shareholder in the form of dividends (if and when declared).
There are 2 types of shares: Ordinary shares and Preferred shares. The shares traded on a daily basis in the secondary market (or the stock exchange) are ordinary shares.
This asset class can potentially offer the best and maximum growth but also has high volatility. Some shares deliver good results in the short term while others may give optimum returns in the medium to long term. Thus, investing in the correct shares with the correct advice and guidance is required.
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