Stocks and Shares
In order to grow and develop, companies need to invest in their businesses. Stock markets provide them with an opportunity to raise money by selling parts of their businesses as shares, also known as ‘equities’. Just like a slice of cake, a ’share’ is exactly that. If you buy one, you own a small part of that company and become a shareholder.
When you invest your money in the stock market, it has the potential to grow quicker than if you leave it in a savings account, albeit with more risk.
There are two ways that you can make money from shares:
1. Capital growth.
Sell shares for more than you bought them for. The market price of shares fluctuates due to supply and demand, driven by the attractiveness of a company and its performance.
Receive regular payments in the form of dividends, which are your share of company profits.
Please do not hesitate to contact us if you require further information.