What is the difference between a stock, share and stake?

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What is the difference between a stock, share and stake?

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Anonymous 0 Comments

They are increasingly general terms for the same type of thing.

Having a stake in something means you have some (typically financial) interest in its performance. That might be owning stock in a company, but maybe it’s referring to the fact that you bet $5 on a football game.

A share is a piece of ownership of…something. Again, this might be a stock, but you can also own a share of a mutual fund or an investment property or whatnot. So a stock is a share and a share is a stake, but not all stakes are shares and not all shares are stocks.

Finally, a stock is specifically a piece of ownership of a company.

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