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Security is a broader term which includes shares as well. There are two types of securities, Equity security and Debt Security.

Equity security comprises Share, Common Stock, Options etc. while Debt security comprised of Bonds, Debentures, Bank Notes, Coupons etc.

The dictionary meaning of security is something which is secured.

But equity shares are not secured i.e., equity shareholders are repaid their money only after the Company repays the pref shareholders and other pref creditors and only if the company has enough money to repay it.

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Q: What is the difference between stock share and security?
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