Shareholders
ownership
issue
dividends
rights
security
A stock is a type of
that signifies
in a corporation and represents a claim on part of the corporation's assets and earnings. There are two main types of stock: common and preferred. Common stock usually entitles the owner to vote at meetings of
and to receive
. Preferred stock generally does not have voting
, but has a higher claim on assets and earnings than the common shares. Bond, on the other hand, is a fixed income investment in which an investor loans money to an organization which borrows the funds for a defined period of time and pays a(n) interest rate. Companies and governments
bonds to raise money and finance a variety of projects and activities. Owners of bonds are debtholders, or creditors, of the issuer.