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That’s not how checking accounts, savings accounts, or shares of stock work. It’s only how physical dollars in your wallet work.
by webinvest 5y ago
That’s not how checking accounts, savings accounts, or shares of stock work. It’s only how physical dollars in your wallet work.
- s1artibartfast 5y agoI think this is an important insight, but not without challenges. One could argue that stocks in the secondary market work like a wallet. Funds from additional offerings do go on a company ledger and get spent, but in investor to investor sale, the profits are mostly reinvested in other stock. Money leaves the market when it is diversified into other investment classes, or when investors spend profits outside the market, or gains are taxed.