Investment Essential From RC
What Are Shares?
What Are Bonds/Sukkuk?
Part Of The Profits?
Investing In Mutual Funds
Understanding Risk?
Take A Long-Term View
Importance Of Diversification
Time Not Timing Is The Key
   What Are Shares? Printer Friendly
If you looked in a financial glossary, it would probably define a share as a "certificate representing one unit of ownership in a company" which is accurate, but not very informative. So what does investing in shares mean? To put it simply, you became a part owner of every company you buy shares in.

It wouldn't be unusual if a share gave you ownership of a millionth of a company or less, but this small stake could entitle you to a share in the profits and a say in how the company is run.

If you invest in a company that does well, it's likely other people will want to invest in that company too. As there are a fixed number of shares available, the law of supply and demand comes into play and the share price is likely to rise, increasing the value of your holding.

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Riyad Capital is a Saudi Limited Liability Company with Paid Up Capital of SR 200,000,000.licensed by the Saudi Arabian Capital Market Authority (NO.07070-37). Commercial Registration No. 101023923. Head Office: P.O. Box 21116,Riyadh 11475,Saudi Arabia .