Both common share and unit offerings are different types of purchasing options for stocks and securities of a company. Common share offerings are the most known and frequently purchased stock options, whereas unit offerings are a more complex and grouped security purchasing option.
You can’t run before you learn to walk (though some of you out there may think you can do anything), and it’s almost impossible to understand what an escrow release is before learning what an escrow itself is. An escrow is a financial agreement between two parties that make financial transactions secure by using an escrow account. An escrow account is a neutral third-party used to release a sum of money inside of an account once the terms on both ends of an agreement are met.
A subscription agreement is a firm handshake between a private or public company and a private investor—no “dead fish” handshakes allowed. A subscription agreement (also known as a private placement) ensures a specific number of shares are sold at a specific price.
Dear Retail is a community that was established for retail investors, by expert retail investors, as a place for us to share with you what we’ve learned over many, many years of active investing. By sharing our firsthand experiences – both good and bad – our hope is that you can learn and prosper from our successes – as well as our mistakes.
Today Peloton is a household name. It has more than one million subscribers to its online fitness classes. Its stock is up 456% in the past year. And the company’s greatest problem is a great problem to have.
Do you know what this century’s best-performing stock is? Here’s a hint: it’s not Google, Apple, or Amazon – in fact this century’s best-performing stock started out as a penny stock, and was trading at below US $0.10 in January 2003. Since then, Monster Beverage (NASDAQ: MNST) has skyrocketed to its current share price of US $84 (as of Aug 26, 2020), and has a market cap of more than US $44 billion. That’s an 83,900% return for early investors who bought stock at $0.10!
As an investor, your “edge” is what sets you apart from the competition. It helps you beat the standard market return. In other words, it’s your competitive advantage. Every retail investor is capable of outperforming the experts and seeing greater returns, but the competition is going to be tough. You’ll be up against wealth managers, hedge funds, high frequency and quant traders, institutional investors and other retail investors. As a retail investor, “What’s my edge?” is a critical question you should continuously be asking yourself, whether you’re a beginner or a seasoned pro.