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June 2, 2009
Sell Shares
How to Sell Shares

When looking to sell shares, common stock shares, you will find that it is not a difficult process but it is still important to understand exactly what to do. Common stock is owned by shareholders and for each share that is bought, the shareholder is entitled to one vote. It is also referred to as voting stock by many stock investors. Common stock is different from preferred stock. Preferred stock does not gives voting rights to shareholders however preferred shareholders receive paid dividends before common shareholders.

The most common type of stocks and shares that are bought and sold each day on the stock market are common stocks. To sell shares of common stock you should either go through a brokerage firm or through a bank. Those investors who may be looking to sell their shares of stock in a company but do not plan on buying or selling stock in the near future, can go to their local bank. All you have to do is take the stock certificate to a bank in which you already have a bank account, ask for the investment officer, and then have the trade placed to sell common stocks at the current stock price on the open market. As soon as the stock clears, and it is delivered (three days later), the money is then available to the investor who sold the stock.

Another way to sell shares of common stock is to go through a brokerage firm. You would have to open a brokerage account in order to do this, so this option is for the investors who I planning on buying and selling shares again in the near future. There are many different brokerage firms available so it will require research on the investor's part to find a firm that works for them. Don't just pick any firm, be sure that you get referrals, check references, and compare and understand commission fees. There are many different options available to investors depending upon their needs.

Investors will also need to decide if they want to go with a full-service broker or a discount broker. This will depend on the investor's needs as well. Online discount brokers are available for those looking to sell stock online with little to no guidance from a live broker. Full-service brokers are available and can offer more one-on-one attention however that comes with a heftier price for commissions.

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