Common stock

Topic

Common stock is a form of corporate equity ownership and a type of security that represents fractional ownership in a corporation. Holders of common stock are typically granted the right to vote on corporate policies and elect the board of directors, as well as the right to share in the company's profits through dividends. In the event of liquidation, common shareholders have rights to a company's assets only after bondholders, creditors, and preferred shareholders are paid in full.