Osakeetuudet

Osakeetuudet refers to the concept of stock dividends in Finnish. A stock dividend is a distribution of a portion of a company's earnings, decided by the board of directors, to a class of its shareholders. Dividends can be issued as cash payments, as shares of stock, or with the option of reinvesting the dividend in the stock again. When a company issues dividends, it signifies that the company is profitable and has excess cash that it wishes to distribute to its owners, the shareholders. The payment of dividends is a common practice for mature, stable companies, though not all profitable companies choose to pay them. Some companies may opt to reinvest all profits back into the business for growth and expansion. The decision to pay a dividend and the amount of the dividend are typically made by the company's board of directors. Shareholders receive dividends in proportion to the number of shares they own. For example, if a company declares a dividend of $0.50 per share and an investor owns 100 shares, they would receive a total dividend payment of $50. The frequency of dividend payments can vary, with common schedules including quarterly, semi-annually, or annually.