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Common Stock
Term category: Stocks, General Investing
In 10 words or less: A form of stock that offers voting rights and fractional ownership.

Definition: The most common form of stock. It's a form of stock that represents ownership in a company and also gives the owner voting rights.

StockJargon Advice: As a small investor, the type of stock that you'll most likely buy will be common stock. The other type of stock is called "preferred stock" but it is far less common than common stock (hence the reason it's called "common stock).

Common stock is also nice because it gives the investor voting rights. This means that you are allowed to express your opinions on issues involving the board of directors and so forth.

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