A certificate that represents the property of or a claim on capital with a certain face value. There are two main forms: stocks and bonds. Stocks are certificates that represent the property of joint-stock capital. Joint-stock companies concentrate their joint-stock capital by issuing shares. Holders of shares receive a certain annual dividend income from the joint-stock company according to the face value of the stock, and the listed shares can be sold on the stock exchange, but cannot be surrendered to the joint-stock company. Bonds are certificates that represent a claim. Unlike stocks, bonds are not notes of investment into shares, but a promissory note. Holders of bonds not only receive interest not only receive interest on a regular basis, but can also recover the principal from the bond issuer when the bond matures…
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