Equity & Derivatives

What is Equity

Equity = Ownership in a company
Equity is the capital amount which is raised or contributed by the members of the company.
The net worth of a company. This represents the ownership interest of the shareholders (common and preferred) of a company. For this reason, shares are often known as equities.

What is Shares

A share is simply a divided-up unit of the value of a company. If a company is worth Rs. 100 Cr., and there are 50 Cr shares in issue, then each share is worth Rs. 2