What is a Share and What is a Share Market? A share market is where shares are either issued or traded in. A stock market is similar to a share market. The key difference is that a stock market helps you trade financial instruments like bonds, mutual funds, derivatives as well as shares of companies. A share market only allows trading of shares.
What is a share and what is a share market?
A share market is where shares are either issued or traded in. A stock market is similar to a share market. The key difference is that a stock market helps you trade financial instruments like bonds, mutual funds, derivatives as well as shares of companies. A share market only allows trading of shares. A share is an ownership right in a company, similar to a share of equity. Shares entitle the owner to a percentage of the company’s net asset value (which is an estimate of how much money a company is worth). A share’s value is linked to the company’s performance, growth and earnings. Share is the legal name of a share and is the term used to identify shares in a share market.
Difference between share market and stock market
While share market is used for trading shares, stock market is used for trading financial instruments like bonds, mutual funds, derivatives, shares of companies, stocks etc. You can use this as a guideline to compare the difference between share and stock market. You can try different formulas and ratios to compare the amount of money that you earn in the two types of markets. Stock Market Vs Share Market Here is how it works. Stock Market: One share can be traded at several levels. At first level, you get one or two shares. At the second level, you get three or four shares. At the third level, you get six shares and at the highest level, you get over 1,000 shares in one trading session. Share Market: One share can only be traded on one exchange.
