INVESTING IN STOCKS

 

Short/long term investment opportunity: A stock provides its holder with the opportunity to secure high yields in the short as well as the long term. In addition to the chance of short-term yields, stocks may potentially bring higher yields compared with regular and other investment instruments which prove to be stable in the long run.

Dividend: A stock entitles its owner to get a share of the yearly net profit of a company. Dividends are paid to stockholders when the company decides to allocate dividends at its general assembly.

Capital gain: Means income derived from the trading of a stock by exploiting price changes in the short/long term. No tax is charged on the income derived from the trading of stock by any investor, whether domestic or foreign. The purchase-sale of stocks involves the risk of loss if stocks decrease in value, as well.

Tax advantage:  The withholding rate applicable to income obtained from the trading of stock is 0%.

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