Quizzes & Puzzles1 min ago
What Happens To A Company Share When It Is Sold?
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Does it go to a stockbroker who will try to sell it, but if not it has to be bought back by the company, at its face value?
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For more on marking an answer as the "Best Answer", please visit our FAQ.Market Makers set the buy/sell price & will buy any shares, matching up the shares they hold to sell to other buyers as far as possible.
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Most shares have a value far in excess of the "face" value.
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Most shares have a value far in excess of the "face" value.
"What Happens To A Company Share When It Is Sold?" - Your question seems to be assuming that a broker buys the share and then tries to sell it. That's not what happens, there is no middleman, a share is only sold if a buyer buys it. It does not go to a broker at any stage they are only involved as an intermediary and take a %age of the deal as defined in their dealing contract with their customer.
When a company share is sold, its register of members (the shareholders or stockholders) is updated to show that the new shareholder now owns part of it. the transfer of ownership is recorded by the issuing institution,When you sell a company share or shares through our online share trading system, the process is quite different from that of a sale of best stocks to invest in.