An ownership stake in a publicly traded corporation is acquired when you buy stocks. In the past, buyers and sellers would gather at stock exchanges to negotiate the price for trading. Today, a growing number of transactions take place digitally, and markets have grown to be enormous virtual stock exchanges. As secondary markets, stock markets require you to purchase your shares through an existing shareholder rather than directly from a corporation.

The appropriate companies that assure an increase in the share price and consistent dividend payments are where an investor can make a profit.