Float occurs when an entity uses a check for payment, as the receiver considers the money in their possession though it hasn't been withdrawn from the payer's account. If you're interested in financial literacy, you may want to learn more about float to understand how it affects investing, payments and insurance.
What is float in stock trading?
What is float? Float is the number of a stock’s outstanding shares that are not held by individuals and corporations closely associated with the company. It can give investors an idea of how volatile that stock is likely to be.
What is an example of a stock float?
For example, a company may have 100 million total outstanding shares but only 75 million of those shares may actually be available to the public. That means the float is 75 million or 75 percent of the total outstanding shares. So what might be excluded from a stock’s float?
