Question

A stock is not just a ticker symbol or an electronic blip; it is an ownership interest in an actual business, with an underlying value that does not depend on its share price. Please explain​

Answer 1

Answer:

It should be noted this is a controversial definition of value. Based on the efficient market hypothesis the stocks' trading price should take into account all available information and represent the "value" of the company. This is why actual examples of people beating the market in the long run are near non-existent. Of course there are lots of people with an interest in selling you on the idea that you can, because convincing you to go with an actively managed fund makes them more money than funds that just peg to the S & P or whatever. should be noted this is a controversial definition of value. Based on the efficient market hypothesis the stocks' trading price should take into account all available information and represent the "value" of the company. This is why actual examples of people beating the market in the long run are near non-existent. Of course there are lots of people with an interest in selling you on the idea that you can, because convincing you to go with an actively managed fund makes them more money than funds that just peg to the S & P or whatever.To be fair to Graham, he was around during a time when computers weren't pricing in information within a millisecond of the information coming out.

Answer 2

“A stock is not just a ticker symbol or an electronic blip; it is an ownership interest in an actual business, with an underlying value that does not depend on its share price.

in Hindi

“एक स्टॉक केवल एक टिकर प्रतीक या इलेक्ट्रॉनिक ब्लिप नहीं है; यह एक वास्तविक व्यवसाय में एक स्वामित्व हित है, एक अंतर्निहित मूल्य के साथ जो इसके शेयर की कीमत पर निर्भर नहीं करता है।"

- Benjamin Franklin.