13 Explain the meaning of 'capital gain' in the context of shares.

[Fatima ibtehaj]

[KN]A capital gain in the context of shares means the profit an investor makes when they sell a share for more than they paid for it
[APP]If someone buys a share for £10 and later sells it for £15, the capital gain is £5 per share.
[AN]Hence if a company performs well this can lead to a higher demand for its shares. As demand increases, the share price goes up, creating the opportunity for capital gains.

[Aarib Saad]

(KN)Capital Gain is the markup price an individual receives when selling his/her shares in a business.
(APP)For instance, if a person pays $0.25/share and then later sells for $1/share, the capital gain will be $0.75/share.
(AN)This in turn helps shareholders identify which businesses are worth investing in, helping them make better investment decisions, allowing them to maximize their dividend value.