Stock and Share Basics:
A stock is ownership or some equity in a company. You may buy this stock in the form of a share of the company. This represents a portion of a company's assets and earnings, also known as their capital.

Being a stockholder:
The ownership (stake) you have in a company is reliant on the number of shares as a proportion of the number of shares the company has issued (made available).

The stake you have in the company could allow you to vote at the company's annual general meeting. However, most private individual’s (ie me and you) stake is relatively small and many do not attend the annual general meeting.

Buying and selling:
Stocks in publicly traded companies (these companies can be termed as floated) are bought and sold on a stock market. You can buy a share in a stock when a company first decides to trade itself on the stock market - that is, at flotation or privatisation; or you can buy through the stock market once the shares are in circulation and being made available to private individuals.

To buy or sell a stock you more often than not go to a stockbroker who does business with the stock exchange on your behalf.

Once you have bought your shares you can hold them as a paper certificate or your broker can hold them electronically (in a nominee account) on your behalf. When you have bought or sold the shares, your transaction is completed (or settled) electronically through a service known as CREST. This system links banks, stockbrokers and company registrars.

International stocks are shares in companies trading on a stock market in another country. They are traded in the same way as UK stocks are traded on The London Stock Exchange. The beauty of all stock exchanges throughout the world is that they work in much the same way as each other.

Stock symbols
A stock symbol, or "Epic" code, is a stock exchange's standard abbreviation of a stock's name. You can find stock symbols wherever stock performance information is published (e.g., newspaper stock listings, investing sites on the web).
Alongside the stock symbol you will find the most important performance indicators for that particular stock. Once you buy some stock, you will use stock symbols to find and monitor your stocks' performance.

What are the Risks?
The price of stocks is a function of demand, which is based on investors' perception of the company's future earnings prospects.

The choice of stock - income or growth - is usually a question of the investor's attitude to risk. Income stocks are generally safer and are preferred by more conservative investors.

Growth stocks are inherently more risky, but offer far greater potential for wealth accumulation through capital gains in the stock price. Of course, until you sell your holding, these gains will not be realized. As an investor, you should assess your appetite for risk and, based on this, select the stocks with which you are comfortable.

Timely information on a stock's performance is the key to good investing. The successful investor keeps a close eye on their stocks.