Shares. Types and criteria to differentiate

Hello, my name is and I would like to present

the different types of chairs on the criteria to distinguish

among them here.

We can see on overview off the presentation.

We will first introduce the topic by a definition affairs,

and then we will start talking about the criteria to

classify the different types of shares.

Shares are financial instruments that represent ownership in a company

stock. Shares on equities are also terms used to describe

units of ownership in one or more company most companies

have shared and as financial instruments that they are can

be exchanged.

But on Lee, the shares of publicly traded companies are

found on the stock exchanges.

There is not just one type of share with rather

ah whole ranch of them, and they differ from one

another in various ways.

Now we will expose the criteria used to distinguish between

different types and forms of shares.

We can distinguish different kinds of shares by the right

the shares gives to shareholders.

We find ordinary or equity shares one of the most

common kinds of shares.

These shares give investors all kinds of rights the right

to participate in the annual general meeting voting and information

rights right to the to receive TV them subscription right

on their residual claims in case of the companies closed

down, and that is because the money that it is

left will be divided by the shareholder.

Then we find preference shares, which are very similar to

the ordinary ones.

But they have no votes in right.

Even though they can attend, the shareholders can attend to

the annual general meeting.

Nevertheless, prefer shareholders will receive a next dividend ahead off

ordinary shareholders, and they also have a higher priority claim

to the company's assets in case off insolvency.

Now, the following ones are not so common.

We found, for example, redeemable shares, which can be bought

back at a future date by the company.

The redemption date can either received in advance or decided

at the company's discretion.

The redemption price is usually the same as the issue

price, but not necessarily.

Shares given to employees are often redeemable so that the

company can get it serves back if they employ believes,

however, the ability to redeem shares it's limited on it

is subject to a specific statutory requirements.

Also, we find cumulative preference shares by which shareholders get

on extra dividends.

That's right, will be carried forward whenever there are profit

enough to pay and then, lastly, convertible preference shares, which

can be exchanged for a specific number off ordinary shares.

And we don't see this kind of shares here in

Austria. But yes, in the Yusa, we can classify shares,

too, by the way ownership is transferred.

In other words, by the transfer of title, we find

better shares, which is a normal share in such a

company. The difference is that the name of the owner

is not recorded on the physical stock certificates nor in

the public register.

Instead, the name of the owner is simply listed.

It's simply listed as the better bearer.

Thus, uh, it is a barrier share.

This means that ownership off the share is that their

means entirely by the physical profession off a piece of

paper, the only way of knowing who the owner is,

uh, if they're holding the doctor certificate in their hands.

Therefore, the transfer is very easy on the barrel.

ER can always exercise off the right.

Moreover, there are registered shares which are not very common

anymore, but they still exist with this kind of hair

on Lee, owners or shareholders can exercises connector size the

rights. Um, if the owner decides toe sell the share,

it must be registered under the name and address of

the new owner.

Registered shares can be transferred by agreement, endorsement and transferred,

uh, in principle there also suitable for stock exchange trading.

Although the require registration by name represents, Ah, theoretical disadvantage

compared toa better better shares.

Um, this tends to make the transfer more difficult.

Sometimes the company's consent is needed for transfer, which will

bring us the resist restricted registered chairs.

Also, we find the classifications.

By denomination, we find par value shares, which have the

nominal value expressed in euros or dollars, so one share

represents €100.

Um, the total sum off all these shares is equal

to the shareholders funds.

When a company issues new stock shares, our value is

the nominal or officially stated worth off a stock share

just before investors begin buying shares.

However, as investors start buying shares, the actual price investors

steak and often that's risible far the term part came

in tow use as a way for companies toe a

share. The market.

They will sell, uh, no shares below par so that

no one can receive favorable treatment.

And also we find the quota share.

We have no nominal value, but its share represents unequal

part of the shareholders funds.

Um, if the company, for example, issues 100 shares, its

share would represent the 100 part of that company, and

these shares are more common nowadays.

We can also classify different fares by industry sector, which

means that we can classify different shares by the industry

in which they belong.

For instance, in the Vienna Stock Exchange Market Web page,

we find a sector classifications in which they're eight industries

with 36 sectors in total.

We find healthcare industry, for example, which includes the pharmaceutical,

biotechnology and health equipment sectors.

Also, the consumer products industry that counts with the sectors

off automoviles uh, food, very tobacco, um, household products and

furniture and personal on leisure product.

Nevertheless, there are also other industries with different sectors in

which we can find off course shares, and also we

can classify Bicyclist city on.

We can distinguish shares that are more or less affected

by the business cycle disease when sales go up and

down, depending on the economy, off the country and how

it affect the business in general.

Um, we find therefore cyclical stocks.

Um and this means that the sheriff price are heavily

influenced by the business cycle.

And on the other hand, we find defensive stocks.

We're hair surprise are more stable.

Also, we find other criteria where we can differentiate shares.

One criteria is the time off issue and we can

find new shares on dhe.

It is when the company issues additional affairs and also

all shares which are they already existing shares off a

company. Also, we can.

Another criteria is the financial effect when issuing new shares.

And normally there is a cash inflow on.

There is unordinary capital increase.

But also there can be no gosh in flu and

that's when issuing new shares.

Um, but it is for free.

And in this case, there is an internal capital increase.

Also, uh, time happened, the situation off repurchasing new care,

our existing shares.

Eso here will have to distinguish um issued shares which

are the shares that the company issues on its sir

holders and on investors hold these shares.

The company issues these to the people in the company

or the general public and some large investment institutions.

Also, we find out of standing shares, which are issued

shares minus the stock in the Treasury.

When a company buys back its shares and that's not

retired them, uh, they're set to place in the Treasury.

Thus, after subtracting shit shares in the Treasury, the remaining

are set to be outstanding cares and the outstanding shares

are lesser than or equal to issue shares.

And nevertheless, they cannot be more than issued shares but

can be a Cuba lint toe if if there is

no Treasury stuck.

And then lastly, we filing Treasury shares, which refers to

previously outstanding talk that is brought back from stockholders by

the issuing company, and the result is that the total

number of outstanding shares on the open market decreases.

Also on our criteria is the amount of shares health

and sometimes we refer to a free float, which refers

to the number off Cos outstanding shares owned by public

investors, including restricted shares held by company managers on officers

controlling interest investors, governments on other private parties, but also

another definition of free float.

It's when the shareholding is less than 5%.

Yeah. On the other hand, we can also refer toa

a block of stock.

And it is when the shareholding is bigger than 5%

Other four.

When you have more than a 5% in a company

you have a block of shares.

And also on our criteria is the financial effect when

issuing new shares.

And normally there is a Okay, so this has bean

all I really hope you like this presentation and

Shares. Types and criteria to differentiate

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