Introduction into the categories of shares

Introduction into the categories of shares

Once you have decided to invest in the stock market and then start a joint session of the provisions of the shares, preferred shares, and a kind of type b.

Category of shares, in fact, tell you how much and what type of the right to vote for you and this in turn will determine the way will be able to have your opinion heard at the annual general meeting of the Council.

First I will discuss in stock and this stock is one of the issues that will be for all shareholders, and this type of securities or class with the maximum risk. In fact, in the case of liquidation of the company and this stock will leat prefernec, and have all of the company came to was that everyone has come to fruition.

But in general, the stock market for investors in these shares are Comon are usually appreciate more than anything else, and this is where the risk of repayment.

Preferred stock is less risky than common stock, and this type of securities in general will be given preference over the Common Shares in the event of bankruptcy of the company. Preferred shareholders do not receive a fixed amount of didvidend.

There are types of classes that will be encountered in the stock market are usually the first degree and class B shares. The first degree and normally would have a share, or five votes per share, Class B shares have one vote per share. According to the classification of shares or class B can be quite the opposite for some companies or companies that are trying to cover up that kind of voting power for some types of shares outstanding. Need to happen because the classification of companies in an attempt to provide more of the voting power of some of the door to investors.

Make sure to read the Charter of the companies, and the Statute of the publication as a thorough pre-investment to the investor is likely to take more money from investors beam.