GLOSSARY

Canadian Financial, Real Estate and Mortgage Glossary

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Stock


Synonyms:share, stocks
Filed Under: financial-banking, investments, legal-contracts
Tags: banking, contract, investment, legal
 

Definition of stock

stock
1. A security that represents equity (ownership) in a corporation. Owning stock gives each shareholder a claim on a portion of a corporation's assets and earnings and often times provides shareholders voting rights. Many stocks are traded openly on stock exchanges between investors. Also known as "equity" or a "share."

Related Terms and Acronyms:

  • Canadian National Stock Exchange (CNSX)
      ➥  Canadian stock exchange for trading the securities of public companies.
  • portfolio   A collection of investments.
  • preferred stock   A type of security that signifies part ownership in a corporation and is given preferential treatment over common stocks.
  • private equity   Equity not traded on a stock exchange.
  • privately held company   A company that is not listed on a stock exchange.
  • publicly traded company   A company that is sold on a stock exchange.
  • return on equity (ROE)   A ratio that shows how profitable a company is when compared to shareholder equity.
  • secondary market   A market where financial instruments such as stocks, bonds, options and futures are bought and sold to investors.
  • securities/investment dealer   One who acts as the agent for another party to buy and sell securities and other investments; also an underwriter.
  • security   A tradable financial implement that represents ownership, the rights to ownership or debt.

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