IHOFX | Shares Trading

Shares Trading

Experience the widest range of investment opportunities—from flagship blue chips to innovative small and midcaps—all with unmatched availability. From retail to large-in-scale products and services, complementing standard equity trading, our market offers everything you need for a secure and successful investing experience. And, with our Market Surveillance in place, you can rest assured that the markets are fair and orderly, creating a safe and secure environment for investors.

Shares vs Stocks

The difference between shares and stocks can be confusing for investors, as they are often used interchangeably when discussing the stock market. However, it is important to understand the difference between the two. Shares are the units that investors purchase in a company, while stocks represent the company that issues the shares. By understanding the distinction between shares and stocks, investors can better assess their investment options.

 

Investing in Stocks on IHOFX

Place your orders through broker firms that are members of the IHOFX – one of the world's leading and most reliable networks of brokers and trading firms. Our network includes the world’s largest investment banks, brokerages and national trading firms, all of which are committed to providing you with the best trading experience. With the IHOFX, you can gain access to a wide variety of markets and benefit from competitive fees and superior liquidity. Join the IHOFX today and start trading with confidence!

 

Equity Trading in the Share Market

Equity trading takes place in the equity market, also known as the share market. This market is a platform for buyers and sellers of shares, which can be either physical or digital. The equities traded in the share market include publicly listed stocks on the stock exchange or privately traded stocks, which are usually handled by dealers. Equity is a major investment asset type and can be useful when diversifying your portfolio. The price of a stock is influenced by the activities that surround it. For example, a surge in the demand to purchase shares of a certain company can drive up the stock prices, while a desire to sell can bring the stock prices down.

 

Benefits of Equity Trading

In comparison to other investment options, the stock market offers some of the highest returns during periods of inflation. This gives investors the ability to maintain their current lifestyle without having to make drastic cuts. Despite being more volatile than a savings account or fixed deposit, equity investments come with the potential for higher returns. Additionally, by learning more about the securities markets, investors can reduce their risk while increasing the likelihood of a successful outcome. Furthermore, stockholders of reliable companies can benefit from dividends, which are payments made by the firm to its shareholders out of their earnings. Although not mandatory, many successful firms choose to pay dividends in order to attract more investors.

 

Equity Market Strategies

IHOFX offers a completely automated and computerized, screen-based trading platform. As a buyer or seller, you can view all the trades and place your orders to meet your needs. IHOFX also clears and settles all the trades executed during the day, combining them and offsetting positions to identify the responsibilities of the trading members. Additionally, IHOFX continually updates its risk management system to anticipate market issues and stay current with changing procedures.

 

Stocks vs Equities

As the boundary separating stocks and equities is so thin, the terms are sometimes used interchangeably. Stocks are equity shares of the company that are traded on the stock market. Equity, however, refers to ownership in the corporate sector. Equity shares are referred to as stocks when they are listed on stock markets to allow for the trading of ownership in the company.

 

What are Equities?

Depending on the context, the definition of the word equity varies. Equities, when referring to the stock market, are basically shares of a company's ownership. So, when a company offers equities, it is selling a part of its ownership. Nevertheless, when a company issues bonds, it is actually taking loans from investors.

 

What are Stocks?

A stock is a type of security that denotes ownership of a portion of the issuing company. Shares, also known as units of stock, entitle their owners to a share of the company's assets and income in proportion to the number of shares they possess. In order to raise funds to run their operations, companies issue stock, and the holder of that stock, known as a shareholder, may be entitled to a portion of the company's assets and earnings.

The two major stock types are common and preferred. The owner of common stock often has the right to vote at shareholders' meetings and to receive any dividends the company pays out.

Unlike common stockholders, preferred stockholders often do not have voting privileges but do have a stronger claim to the company's assets and profits. For instance, preferred stockholders get dividends before common stockholders and are given priority in the event of a company's insolvency and liquidation.