News for hackers. Stuff that matters.
Re:The stockmarket is now run by computers, algorithms and p... by esoterica on Monday October 14, 2019 @02:24PM (#21251231)
Companies save cash by paying employees in stock instead of cash (and saving cash is just an indirect way or raising cash, a penny saved is a penny earned etc.) Companies cannot pay employees in stock unless the employees have a way of eventually selling that stock. Employees can only sell stock because a robust secondary market exists for buying and selling stock. Therefore, the continuous trading of stock helps companies raise cash and “create value” even after the IPO.

There are no comments on this comment yet.