Advantages of ordinary sharesÂ
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Holding a higher number of shares may result in higher proportional dividends.
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Shares of listed companies can be freely transferred/traded on the JSE.
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Shareholders' liability for company debts is limited to the amount invested in shares/Shareholders have limited liability for the debts of the company.
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Shareholders have voting rights at the annual general meeting (AGM).
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Rate of return on investment (ROI) is linked to the performance of the company.
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Ordinary shares are usually cheaper than preference shares on the open market.
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Ordinary shareholders can track the value of their investment through published information/different media.