Action
A share is a financial asset that represents an aliquot part of the capital stock of a public limited company (SA).
When acquiring shares, rights are received over the company and the category of partner is obtained. In this way, the buyer of the share becomes the owner of the company in a proportion according to the shares we have bought.
That is, by buying a share we become owners of this company.
The share makes its holder the owner and capitalist partner of the firm in proportion to the amount of shares he has subscribed. To the same extent, it gives you the right to vote in the general assemblies of the company and to receive the dividends that correspond to you according to the profits that have been obtained.
The decision-making capacity and power of some shares will depend on the percentage of the capital that these shares represent. Whoever owns 51% or more of the shares gains control of the company by reaching a "majority".
The class and number of shares a person owns define their rights and the extent of their ownership. See types of actions
The price at which the shares are issued reflects their nominal value, which is the initial value at which they were issued. It is calculated as the capital stock of the company divided by the number of shares issued.
Nominal value should not be confused with market price. The market price is the price at which the shares are trading once they have been issued.
The shares of some companies are listed on the stock market and are therefore traded among the general public. The price of a listed share represents the confidence or mistrust that investors have regarding the performance of the issuing company: expectations regarding future dividends, capital increases, performance in the market, etc.
In this last sense, a set of macroeconomic factors also influences: performance of other types of obligations, general interest rate, expectations regarding the performance of the economy as a whole, etc.
The shares can be made to order, when the name of their holder appears, and to the bearer, when they are subscribed without such specification. The former are transferred by endorsement, while the latter are freely bought and sold on the stock exchange where they are listed (variable income instrument).
Stock as a financial asset
Shares are a variable income instrument, which means that there is no economic remuneration established by contract for the shareholder. The remuneration will depend on the situation the company is going through. If the company deems it appropriate, it will distribute dividends (performance of the operation) and, otherwise, no remuneration will be received. You are a partner of the company as long as the shares are held.
In the past, shareholders received a paper, called a physical title, which indicated that they had X shares of a company. However, with the entry of the internet, there are electronic records in financial institutions that show this data. Being a shareholder by entry into account, instead of having a physical title, makes carrying out operations a simpler and more agile process.
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