Types of Stocks in the Stock Market According to Ownership

Stocks are classified according to types and classes, depending on the characteristics and earnings potential.

According to OWNERSHIP

Common shares may further be classified into:

a.    Class A – These are stocks that can be exclusively traded by Filipino investors.

b.    Class B – These are stocks that can be bought and sold by both Filipino and foreign investors.

Both classes have the same privilege and receive the same amount of dividends. Such classification of common shares is done to monitor the equity ownership of both local and foreign investors.

Source:pseacademy.com.ph

Class A common shares are stocks locally traded in the stock market by Filipino investors only. While Class B common shares are traded in the stock market internationally by both Filipino and foreign investors. Both exercise the same rights of ownership.Classified more specifically for monitoring purposes for local and international investors.

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