And just as an example, I said well let's say that Bank A is a public company.

So what he does is or he has an idea that says

I think I originally set in the original video that we have 500 million shares.

I'm just buying that share from another guy.

So let's say this company has let me do it in mauve so this company's shares, let's say it has 1 million shares.

Before cutting these jaws, Andrew notes that unlike our previous part, the finish on this material is very rough

But the investors aren't that impressed by that, because you're still holding the shares.

And the links represent the shareholding relations, so shareholder A has x percent of the shares in company B.

We talked in the first video when we started this series about how different companies have different numbers of shares.

And this is only a 0.1 move.

But what I want to do in this video is make it a little bit more tangible, to really understand exactly what you're buying when you buy a share of stock.

BL Daphne, if I may draw your attention to one thing.

So essentially, whoever lent Loan C, all of these shares are now their shares.

It could split the Special Purpose Entity into a million or ten million shares and then sell those shares to investors.

Bank A. has, I don't know, let me make up something, let's say that it has a, I don't know, a billion let's say it has 500 million shares.

So here the nodes are companies, people, governments, foundations, etc.

And there's 10 million individual shares.

OK, so this broker has a ton of clients, many of whom own IBM.

Then, you can buy back the stock

And then, when the stock starts to move up they get scared and they buy it, and it causes the stock to move up even more.

So instead of 160, he now has 110 and he has a share of IBM.

And the reason why they're the sell side is because they're always selling you stuff.

So what are the signs that things are fundamentally changing?

And then what's left over, which is essentially so this is 2 million of equity, and then you'd have 2 million of equity here this 2 million of new equity, right?

goodness.

SCOTT Inc.'s stocks are blue chip stocks.

Well, what's the market cap?

They've never made money.

Mr. Tanaka, do you have any stock?

The board of directors of a firm is essentially elected by the shareholders.

And the broker really owes it to one of the shareholders of

That's what the shareholders own.

And this is an important thing to realize.

let's say this is a publicly traded company.

And maybe this guy's even growing faster, so maybe they're being conservative by only giving this guy a 10 price to earnings.

So, in this situation, let's think about this situation where the stock price goes down

The stock market is very active.

He's a stockbroker.

No, keep the files

The book value is 6.00, but the market saying no, no, no, we are willing to pay 12.00 per share for one of those shares.

So then on this day he borrows one share.

He's got a top hat.

I own 1,000 shares of NTT stock.

But what can happen so you might say well in a closed end fund

But 99 of the time, when you buy a share, it is not going to the company.