What are the benefits due on buying shares?
There are lots of benefits due to shareholders: (I) Capital gains as market prices of the shares increase. (ii) Dividend that is part of company’s profit. (iii) Bonus issues which are paid from company’s reserve to existing shareholders. (iv) Use of share certificate or CSSC statement as collateral for obtaining loan from banks. (v) Right to attend meeting of shareholders and participate in the deliberation as voting members.
