Equity investments refer to the money that is invested in a company or business usually by purchasing its shares in the stock market. These shares can be purchased either directly or from another investor, with the expectation that they earn dividends or can be resold for a profit (capital gain).
Equity holders are typically allowed to vote on candidates for the board of directors and also influence management decisions (if their holding is large enough). Equity investors can make money through dividends, capital gains, buying back of shares, discount on new purchases, and free shares/bonus.
