What are stocks and shares and what is the difference between the two? Watch our simple explainer…
What are stocks and shares?
This is one of those questions that seems so simple it’s easy to never actually ask it. So we decided to do a back to basics and find out the answer.
The terms ‘stocks’ and ‘shares’ are used so interchangeably that we even trade shares on the stock market. But are they any different?
On this episode of the Big Money Questions, we also talk about what it means to own a share, what rights and responsibilities come with owning a little piece of a company and how the value of shares is determined.
What’s it all about, then? We talk through what stocks and shares are and what it means to be a shareholder
We also talk about why companies issue shares, how they decide what to charge for them, and why they often choose issuing shares over taking out a loan.
In this episode, Victoria Hasler, head of research at Square Mile investment Consulting and Research, has the answers.