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Diffrences needed

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What r the basic differences btwn shares,stocks, securities, units and derivatives?

Replies (1)

hi vijay

Shares: smallest unit of Share Capital

Stock : when you own many shares of same company, it is referred as Stock.

Securities: Shares, bonds, other instruments issued by any organisation to raise money are some examples of securities.

Units: In case of Mutual Funds, Unit is the smallest part of the total assets managed by the Mutual Fund similar to shares.

Derivatives: These are weapons of mass financial destruction - Warren Buffet.

It includes Future Options & other instruments of trading.

 


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