Mention any five advantages of shares.
1 Answer
Advantages of shares:
A company which invests huge amount of money in a particular sector may demand money from the public as a share. Only interested persons can invest on it. The investors bear either loss or profit of the company according to their investment. Such act is called share.
The main advantages of share are presented below:
- It provides opportunity to invest the saved money in financial transaction.
- It supports in launching several large scale projects in the country.
- It is considered as the contribution of an individual in the development of the nation. So, it generates the feeling if ownership in the local people.
- A large number of people get employment. As a result, the unemployment problem of the country decreases.
- When the company gains profit, even the investors and the government can have good income.
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