SHARES_051005

SUMMARY

Terry, I attach to you the summary of the content of the following U.R.L; http://www.howtobooks.co.uk/family/stock-shares/

Summarizing this text, I guessed what are shares,the yield, assets and many other economic terms that I will describe ahead.

First, the text talk us about shares, from whom I´ve learned that they are declared once or twice a year, and they give a vote, proportional to the size of the investor´s holding. Moreover, I have learned that the shares of a company are also known as its equity or stock.
Talking about the assets, I have learned, that they are the cash-in-hand, properties, and raw materials of an enterprise, less its liabilities in the form of borrowings or payments to creditors.
Next, they describe us what is a nominal share value, about them, they say that a normal share has a nominal value of 25p and represent the asset value of the company. The total of the nominal sum of all the issued shares is the issued share capital of the company. The text explain us, that there are some non-voting shares, known with the suffix “A”,that enjoy most of the benefits of other shares, but the holder has no vote in the company´s strategy. However, these non-voting shares are unpopular with major investors.
Then we will talk about an enterprise cover and its dividend. The dividend is that proportion of its profits paid to its owners,the shareholders. A company pays only part of its profits as a dividend, the reminder is to fund the internal growth of the company.
P/E Ratio(price to earnings) measures how many years of earnings per share at the current price should be needed to pay for the share. The company´s profits are known as its earnings.
Finally, to conclude my summary, I will describe the last term exposed in the text, which is, the yield. It is an important measure in a company, and it is expressed as a net percentage of the current share price. They give us some yields such as the U.K, which is around 3.6 per cent net. In Spanish the yield will be the same as “ La Producción”.

Mark = 5

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