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Unless you are participating in an IPO. Buying stocks its not investing in the true sense you mention, you are just transfering ownership of stocks but that mon
by o_p 5y ago
Unless you are participating in an IPO. Buying stocks its not investing in the true sense you mention, you are just transfering ownership of stocks but that money doesnt fund any enterprise.
- 8192kjshad09- 5y agoBut the share price going up enables the company to raise money easier by offering more shares. See TSLA for example.
- JohnPrine 5y agoThis is not true. Buying shares in a company increases the company's value, which allows it to raise more money to fund future enterprises.
- o_p 5y agoThat doesnt make any sense at all, buying shares does not increase the company value as someone is selling on the other side, you could be buying when the price drops. If what you said would be true, you would make profit by just buying more shares!