Equity Trading

What is Equity Trading?

Equity trading is the process of buying and selling shares or stocks of publicly listed companies on stock exchanges or through over-the-counter (OTC) markets. When investors purchase equity (stocks), they become part-owners of a company and are entitled to a portion of its profits, usually in the form of dividends, as well as capital appreciation if the stock’s value rises. Equity trading is central to the stock market, and traders participate in it with the goal of generating profits through price movements in company shares.