By Leanna Kelly When you purchase stock in a company, you’re really purchasing an equity stake. That’s why stocks are also referred to as “equities” when talking about different investment vehicles. Equities are company-issued shares representing ownership in the company. They entitle the holder to the benefits associated with the financial gains of that company and the privileges that come with them.
People invest in equities because they have the ability to appreciate. Equity appreciation is how most people build wealth through their stock portfolio, retirement fund or asset investments. In theory, there’s no limit to how high the value of an equity …read more
