Generally,
Stock is a share in the ownership of a company. Stock that describe a
claim on the company's assets and earnings. As you accept more stock,
your ownership stake in the company becomes larger. Whether you say
shares,equity,or stock, it all means the same thing in stock market.A
stock is identify by a stock certificate. This is a special piece of
paper that is proof of your ownership. In today's
computer age, you won't actually get to look this document because your brokerage keeps these records electronically in machine, which is also known as holding shares "in street name ".
computer age, you won't actually get to look this document because your brokerage keeps these records electronically in machine, which is also known as holding shares "in street name ".
Stock
Option : A stock option is a contract between two parties or companies
in which the stock option buyer (holder) purchases the right (but not
the obligation) to buy/sell 100 shares of stock at a predetermined price
from/to the option seller (writer) within a fixed period of time. A
privilege, sold by one party to another, that gives the buyer the right,
but not the obligation, to buy (call) or sell (put) a stock tip at an
agreed-upon price within a certain period or on a specific date.
What is stock options to employees?
An employee stock option is a that are contract issue and it is issue by an employer to an employee to purchase or buy a set amount of shares of company stock at a fixed price rate for a limited period of time. There are two broad classifications of stock options issued which is following :
Non-qualified stock options (NSO) and Incentive stock options (ISO).
An employee stock option is a that are contract issue and it is issue by an employer to an employee to purchase or buy a set amount of shares of company stock at a fixed price rate for a limited period of time. There are two broad classifications of stock options issued which is following :
Non-qualified stock options (NSO) and Incentive stock options (ISO).
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