How the stock market works
Introduction|
Course|
Q&As |
Recommended reading|
Quiz |
Introduction
Context
Most investors devote 90% of their thinking to the price of a share and whether or not it is cheap or expensive. But the total return you get from a share also depends on a host of other factors, and some of them are things which companies do to their share structure. This tutorial explains the background to 'corporate actions' and what they mean for you.
Prior knowledge required
None.
Contents
- Why do companies list on the Stock Exchange?
- Offers for sale
- Offers by tender, and other methods of admission
- The Official List
- AIM and OFEX
- Different types of share
- Reasons for market indices
- The FTSE indices
- Sectors
- Scrip issues
- Rights issues
- Convertibles
- Warrants
- Share buybacks
- Shareholder perks
- Suspension
- Insolvency
- Conclusion
