Equities
Stocks are where most investors start, yet the basics rarely sit in one place.
This category fixes that across the explainers that begin at the beginning: what a share actually is, the claim it gives you on a company's profits and assets, and how common stock differs from preferred.
From there it builds into share classes and dual-class control, voting and proxy rights, the difference between authorized, issued, and outstanding shares, treasury stock, and the par-value relic still sitting on balance sheets.
Market-cap tiers, growth and value and cyclical styles, blue-chip and defensive names, depositary receipts, and warrants round out the set.
Investing With Purpose treats equities as the foundation every other instrument is measured against, so you finish knowing what you own before you try to value it.
A stock is a fractional ownership stake in a company. Buy one share and you own a small slice of the business, with a…
Every company is funded by some mix of debt and equity. The difference between the two is not just where the money…
Most equity is common stock, the ordinary ownership share that votes and rises and falls with the business. Preferred…
A company can have several different share counts at once, and confusing them leads to mistakes in valuation and…
Par value is one of the most misunderstood numbers on a balance sheet. It looks like it should mean something about…
Owning a share buys more than a price that moves; it buys a defined bundle of legal rights. Knowing what those rights…
Before a stock can trade on a major exchange, the company has to list it, meeting a set of standards and accepting…
Market capitalization is the simplest measure of a company's size in the stock market, and investors sort companies…
Investors label stocks by style to describe what kind of bet they represent. Growth, value, and cyclical are three of…
Blue-chip and defensive are two labels investors reach for when they want stability rather than excitement. They…
An American Depositary Receipt is a US-listed security that represents shares of a foreign company. It lets US…
A dual-class share structure is an equity capitalisation that splits common stock into two or more classes with…
Not all shares of the same company are identical. Many firms divide their common stock into classes, often labeled…
Treasury stock is what a company holds after buying back its own shares. The shares still legally exist, but they sit…
When you buy a stock through a brokerage app, you rarely receive a certificate or appear on the company's books by…
Rights and warrants are both instruments that let the holder buy a company's stock at a set price. They look similar to…
Tracking stock is a class of common equity issued by a parent company whose dividend and voting rights are tied to the…