In finance, equity represents ownership value expressed in the form of shares. It is calculated as the difference between assets and liabilities on a company’s balance sheet. Equity investments typically refer to buying and holding of shares of stock on a stock market by individuals and firms in anticipation of income from dividends and capital gains.
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About the author
Jenna Lofton, MBA is a stock trading and investment expert with over a decade of experience in the financial industry. She began her career as a financial advisor on Wall Street and now helps everyday investors make smarter financial decisions through StockHitter.com.
Her insights simplify complex financial topics into actionable strategies for beginners and seasoned traders alike.