Common use of COMPANY SHARES (EQUITIES Clause in Contracts

COMPANY SHARES (EQUITIES. 2.1 Equities are shares in the ownership of a company - hence why they are sometimes simply called 'shares'. Share prices can be volatile and for this reason they should be considered as higher risk investments. However, because of the higher risks involved, equities generally provide better return over the longer term than other types of investment. Companies that make a profit may reward their shareholders by issuing dividends on a semi-annual or annual basis. Shareholders also benefit from any growth in the share price of the company, which is commonly known as capital gain.

Appears in 3 contracts

Samples: Sub Advisory Agreement (Capitol Series Trust), Sub Advisory Agreement (Capitol Series Trust), Sub Advisory Agreement (Capitol Series Trust)

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COMPANY SHARES (EQUITIES. 2.1 Equities are shares in the ownership of a company - company—hence why they are sometimes simply called 'shares'. Share prices can be volatile and for this reason they should be considered as higher risk investments. However, because of the higher risks involved, equities generally provide better return over the longer term than other types of investment. Companies that make a profit may reward their shareholders by issuing dividends on a semi-annual or annual basis. Shareholders also benefit from any growth in the share price of the company, which is commonly known as capital gain.

Appears in 1 contract

Samples: Sub Advisory Agreement (Northern Funds)

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