Stocks Basics - What you should know if you are a beginner
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Transcript of Stocks Basics - What you should know if you are a beginner
Stocks BasicsWhat you should know if you are a
beginner
What are stocks?
• Stocks are the shares of the ownership in a company.
• A stock represents an investor's claim on a company's assets
and earnings.
• Larger number of stocks, your ownership in the company
increases.
• & higher would be your say in the company decisions.
Types of Stocks
Stocks are majorly of two types –
• Common Stocks
&
• Preferred Stocks.
Common Stocks
• Majority of the stocks are issued in this form.
• Common stocks get dividends a part of the profits.
• Paid after paying preferred stocks owners.
• Common stocks garner the highest yield in the long-
term.
Preferred stocks
• Preferred stocks also referred as preferred shares.
• Considered as hybrid because it can include properties
of both.
• Placed above ‘Common stocks’ and below ‘Bonds’.
• Flexibility of converting to common stocks.
Types of Preferred stocks
The preferred stocks are further divided into different types –
• Prior Preferred Stock
• Preference Preferred Stock
• Convertible Preferred Stock
• Cumulative Preferred Stock
Types of Preferred stocks
• Exchangeable Preferred Stock
• Participating Preferred Stock
• Perpetual Preferred Stock
• Putable Preferred Stock
• Monthly Income Preferred Stock
• Non-cumulative Preferred Stock
How to Prepare for stock marketing ?
• Self learning from books, internet
• Learn from professionals at
• Home
• Institute
• Online
• UrbanPro.com helps you by connecting you with Stocks professionals, tutors, institutes to take your career forward!