The document provides an overview of shares, equity markets, stock exchanges, and related concepts: 1) It defines what shares and equity are, and explains that shares represent ownership in a company. 2) It describes what stock markets and stock exchanges are, including some of the major exchanges around the world. 3) It briefly discusses other related topics like brokers, demat accounts, and the purpose and function of stock markets.

1. SHARES & EQUITY MARKET T O P I C

14. Dividend Payout Ratio: The percentage of earnings paid to shareholders in dividends. Calculated as: = Yearly dividend per shs. Earning per shs. Or equivalently = Dividend Net income The payout ratio provides an idea of how well earnings support the dividend payments. More mature companies tend to have a higher payout ratio. Dividend Payout Ratio