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Can the overselling of a stock cause a company to go bankrupt?
Wiki User
∙ 14y ago
No, if anything it may prevent it.
Wiki User
∙ 14y ago
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Can overselling of a stock by financial institutions cause a company to go bankrupt?
No, but any brokerage doing such 'overselling' may be fined for what is known as a 'pump and dump' sales technique.
What is the disadvantage of having a single stock?
if the company goes bankrupt or if the whole stock as a whole crashes then you would lose all your money or alot of it but if the single company is good in time you will get your money bank as long as the company didnt go bankrupt 1 stock company is very good if its a good company because its easy to manage it and learn about the ups and downs of it
Why would you want to buy a stock from the Virginia Company of London?
Hopefully to make a profit. Alas the company went bankrupt.
Can you claim a investment loss on stock for a company that went out of business even if you did not sell the stock?
Yes. If a company goes bankrupt and, especially, if its business is liquidated, you can claim the full loss on the stock in the year the event occurred.
If you have stock in a company that comes out of bankrupt what are your shares worth?
Almost always nothing and they were forfitted as part of the BK resolution
When a company during the Gilded Age era went bankrupt which group of people suffered financially?
The stock and bond holders
What are the risks of stocks?
Stocks can lose their value quickly due to adverse market conditions. There is also a possibility that the company will go bankrupt. Market shocks can cause volatility in any single stock or group of stocks.
What happens to a publicly traded company when its stock goes to zero?
you can claim a CAPITAL GAIN LOSS ON YOUR TAX RETURN FOR THE YEAR IF THE COMPANY GOES BANKRUPT that's it.
What is the different between a stock and a bond?
A stock represents a small 'ownership' unit, where a bond is a 'debt'. If the company makes profits or losses, stock holders take this first. If the company goes bankrupt, shareholders are wiped out and then debtholders wear the next pain.
Can you buy stock during a bankruptcy?
That would be an extremely risky move. In all probabilities, the stock of the bankrupt company would get de-listed from the exchange and you may not be able to sell them at all. The chances of the company taken over by someone else and then get the stock re-listed etc are difficult events which may take years. So if you feel a company is going bankrupt - the wisest move would be to exit your holdings.
How can a broker go bankrupt in a stock market?
when he trades on his own .. he will go bankrupt
What is a Stock worth under bankruptcy protection?
What could you possibly be asking? Stock in a BK company is obviously, virtually worthless...ITS BANKRUPT your stock (ownership interest) represents DEBT..obligation...if it wasn't a Coproration that your owed stock in..you would owe the DEBT.
