Over the long term, common stocks tend to outperform more secure investments, despite their short-term volatility.
[1] Owners of a company's common stock are entitled to rights that are enumerated in its articles, bylaws and applicable corporate law.
These can include the right to vote on directors, officers, compensation plans and major business actions such as acquisition or dissolution.
Many companies also allow them to submit and vote on proposals to amend the bylaws or to mandate actions by the board.
[3] Common stock listings may be used as a way for companies to increase their equity capital in exchange for dividend rights for shareowners.