Are there certificates of authtencity, or something to tell them how they receive their percentages of the company?
2006-09-21 00:33:36 · 7 answers · asked by Cutie 4 in Business & Finance ➔ Investing
when u buy a share of any company u will be given a certificate...saying that u have bought the share and all....u get dividend in return every year or quaterly as per company's schemes and policies...u can also sell these shareholder in the market and earn profits or losses as per market price...
2006-09-21 00:43:58 · answer #1 · answered by k_rapture 3 · 0⤊ 1⤋
The answer to your question is that shareholders receive part ownership in a company & the opportunity to share in that companies success through share price increases and dividend payments.
Most companies in major economies no longer issue paper share certificates. Your name will be added to the list of shareholders and you will receive a receipt, but that's all. No one will tell you what percentage of the company you own but it's easy to work out. If you buy 150 shares in Microsoft you can go to the website and check how many shares are issued (several billion). Your percentage ownership is 150 / several billion.
2006-09-21 17:22:47 · answer #2 · answered by popeleo5th 5 · 0⤊ 0⤋
Shareholders do not own a fixed percentage of a company.
Companies can and do issue additional shares all the time, which dilutes the value of existing holdings.
A share of a company give the owner a right to any dividends that may be paid, but a company is not required to pay dividends.
A share holder usually has the right to vote on new board members in the annual meeting.
The owner of shares has the right to sell them. The main reason people buy shares is to sell them in the future for a profit.
2006-09-21 07:39:46 · answer #3 · answered by bookbyte 3 · 0⤊ 0⤋
Shareholders may receive stock certificates to indicate the number of shares they own in the company, although most investors leave their shares in "street name" with their brokerage firm. Many companies pay a regular cash dividend on a per share basis, and each shareholder receives the dividend according to how many shares they own. Other companies declare stock dividends, and again the shareholder receives more stock based upon the number of shares already owned.
2006-09-21 07:50:04 · answer #4 · answered by Adios 5 · 0⤊ 0⤋
Dividends. Share Certificates.
2006-09-21 07:39:50 · answer #5 · answered by Anonymous · 0⤊ 0⤋
A company can choose whether or not to pay dividends (at the time of their choosing).
People buy stocks hoping that (1) their price will rise and they will sell it and make money, or (2) they want to collect dividends.
Some companies pay dividends just like your bank pays interest. For example, FITB pays out approx 40 cents per share every quarter.
Look into www.investopedia.com if you are interested in more info.
2006-09-21 07:41:18 · answer #6 · answered by amanda 3 · 0⤊ 0⤋
Share Dividends - this is money that is paid per share you own at that company. Some companies use a percentage and others just determine it from many aspects.
2006-09-21 08:17:50 · answer #7 · answered by kope k 2 · 0⤊ 0⤋