A stock is a security guaranteeing its owner (stockholder) the right to have a share in assets of a joint stock company, in its management and profit, and if the company is dissolved, to have a share in the liquidation balance. A stockholder is entitled to a share in the profit of the joint stock company in the form of a dividend.

Every stock is allocated its own ISIN (International Securities Identification Number) pursuant to which it is identified.

The amount of the dividend is decided on by the General Meeting, formed by stockholders (depending on the achieved profit). The dividend amount is variable, which makes a stock different from investments with fixed yield (a term deposit, building saving, bond, mortgage-backed bond).

The stockholder will only become entitled to a dividend if s/he holds the stock on the so-called decisive day. The decisive day is determined by the General Meeting. If a stockholder holds a stock on the decisive day is entitled to get a dividend. Thus a stockholder may hold a stock for one day in a year only to become entitled to a dividend. On the contrary, if a stockholder holds a stock for 11 months, but sells it, and the decisive day is on the day that the trade is settled or later, the stockholder shall not be entitled to a dividend.

Some companies may have set different rules for the entitlement to a dividend. For example, it applies to some companies that it is the day of trade but not the day of settlement that is decisive for the entitlement to a dividend. If a client buys such a company on the decisive day, the client will be entitled to a dividend; if the client sells the company on the decisive day, s/he will not be entitled to a dividend.

Shares are mainly traded on the stock exchange. The exchange rate or the price of a specific stock company is created based on the supply and demand for the share. The amount of the exchange rate is mainly influenced by the economic results of the company and the development of the entire market. Other factors also affect the exchange rate, such as: the development of the company's market share, the conclusion of an important contract, the entry of a strategic investor, the development of the sector in which the company operates, the development of the entire economy, changes in interest rates, the development of the domestic currency exchange rate, the stability or instability of the political environment, etc.