For a person, the stock market provides security through bonds and stocks. Stock security features allow traders to vote and get periodic dividends based on the company’s profitability.
Bond security features guarantees a person for a fixed rate of return, called the coupon rate, in exchange for use of the invested funds much like a Bank Loan. Bond security provides a specific par value, coupon rate, and maturity date. At the time of maturity, the issuing entity repays the full par value of the bond.
Preference Share Securities features allow a person to get a fixed dividend, much like a bond. If the issuing company goes bankrupt then preferred shareholders can grant a higher claim on funds than their common counterparts.
So, these are the most common securities that a person can get in the Stock Market.
source:- https://stocksmarketnewsandtips.blogspo ... t-are.html
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