Syndicate
Debenture Stocks
Stocks are property certificates of a part of the issuing companies social capital. As previously mentioned, stocks are variable rent certificates. Investing in stockholders general council, through the right to vote. Therefore, stocks allow to participate in the management of the company. However, societies can also issue stocks without the right to vote, with limits stipulated in the current legislation.
Dividend in case the company has obtained benefits and the General Board decides to divide a part of the same to the stockholders. The asset dividend is that which the stockholders General Board decides to pay shareholders. The dividend in advance is that which is paid before the S.G.B. and the complementary dividend is the difference between the agreed and the pay-in-advance account.
Subscription preference right in case the society increases capital.
Transferable stocks in case one is interested in selling.
There are many type of stocks, so depending on how the holder is assigned they can be:
- Bearer?s stocks: they are the easiest to trade because there is no paperwork to be done with the issuing company. Currently, stocks that are quoted in the market are electronically traded.
- Normal stocks: exactly as its denomination shows, they are issued to the name of the holder and the issuing company keeps a record of the stockholders.