How to issue shares
How to issue shares
In the Russian reality of the action in the modernunderstanding came in the 80-ies of the last century. This is the mechanism of a market economy that allows individuals to participate in the management of enterprises of almost all forms of ownership.
Instructions
1
In fact, the shares are called upon to attract private capital inturnover of enterprises, therefore, when companies need extra-money funds or are in the stage of active development, they issue a certain number of shares. Thus, the company receives investments, which are subsequently returned to the investor-owner of the shares in the form of dividends.
2
Dividends are always deferred, thereforethe issuing company (the one who issued the shares) has the opportunity to have free funds and operate on them at its discretion. Often the dividends significantly exceed the amount of investments, and then they say that the shares have risen in price, it happens, and that the dividends are negligible, in that case the investments pay off for a long time.
3
Growth in the value of shares may beartificial, companies are advantageous when their "share" is expensive, however, without a real confirmation of the price of a financial document, there is a risk of "drawdown", i.e. the emergence of a situation where at the hands of shareholders not "money", but simply paper.
4
In order to start or resume productionof shares, the company must notify the Federal Service for Financial Markets. The service controls the whole process and even trades, although to intervene, in fact, has no right. The same service calculates the possible number of shares, their type, value and conformity to the share capital.
5
To place ("throw out") shares on the marketindependently the joint-stock company can not. Therefore, it uses the services of an intermediary - an underwriter, it can be a bank or an investment company. It happens that the intermediary significantly adjusts the value of the stock, or can itself buy out the entire portfolio of financial documents. Obviously, a certain amount of shares gives control over the enterprise, and therefore companies are trying to break up the packages and exclude the concentration of shares in the same hands.
6
Shares can be issued many times. Those. having thrown out on securities market, the enterprise can let out a new portfolio and again expose it on sale. At the same time, the old shares will not lose their strength and financial security (unless, of course, it's not about fraud).
7
The beauty of this type of securities is that theylive as long as the company is lively, the financial value of the stock loses only when the issuing organization is liquidated. In addition, the shares do not have a fixed income, therefore, shareholders often become very rich people at a time when the issuer is beginning to actively earn money and, accordingly, pay dividends.
