what is buying a fraction of a share from a company means and how does that generates me money

264 views

what is buying a fraction of a share from a company means and how does that generates me money

In: 4

6 Answers

Anonymous 0 Comments

A share is literally a share of ownership of the company. It’s not very much, but among other things, it entitles you to a share of the company’s profits.

So, when a company declares that it’s paying a dividend, it will say “Okay, we’re paying $X per share,” and that’s how much you’ll receive by virtue of owning part of the company.

You are viewing 1 out of 6 answers, click here to view all answers.