What is Equity?
Equity represents ownership in a company. When you purchase equity, or stocks, in a company, you are essentially buying a portion of that company. This ownership entitles you to a share of the company's profits, usually in the form of dividends, and gives you the right to vote on certain company matters.

Key Features of Equity Investments:

• Ownership: Holding equity means you own a part of the company and have a claim on its assets and earnings.
• Dividends: Many companies distribute a portion of their earnings to shareholders in the form of dividends.
• Capital Gains: Investors can earn profits through the appreciation in the stock's price.
• Voting Rights: Equity shareholders typically have the right to vote on major company decisions, such as electing the board of directors.
• Risk and Reward: Equities are generally considered riskier than bonds or fixed-income investments but can offer higher returns.