Why do stockholders invest their money in corporations?

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2026-03-09 00:50

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A Stockholder is already invested in a corporation. When you purchase a stock you become a shareholder of that corporation. When a company becomes listed on a stock exchange or goes public the corporation issues shares or stock. Each stock represents a share in the company. You, the stock holder, becomes a partial owner of the company on a per share basis. If your question is why do investors invest in corporations through stock ownership the answer is simple. A person buys stock to make money..

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