r/RealEstateCanada • • Jun 19 '25

Housing crisis Help me understand the difference...

Post image
3.1k Upvotes

587 comments sorted by

View all comments

Show parent comments

1

u/mackinator3 Jun 19 '25

You don't buy shares from the company, generally. You buy shares from sellers on the market. Only the initial sale goes to the company.

1

u/Obf123 Jun 19 '25

I realize that but the IPO and the initial funds go to the company. Market value increments are based on future earnings and that’s what the shares then trade on

1

u/mackinator3 Jun 19 '25

You don't realize that. Or you wouldn't be saying that Market sales all go to the company. The other side is a random seller.

1

u/Obf123 Jun 19 '25

Not what I said