What context can I use each word in?
Learn when and how to use these words with these examples!
stocks
Example
I bought some stocks in Apple last year. [stocks: noun]
Example
The stock market has been volatile lately. [stock: adjective]
equity
Example
The equity in my house has increased over the years. [equity: noun]
Example
We need to calculate the equity in our business before seeking investors. [equity: noun]
Good things to know
Which word is more common?
Stocks are more commonly used in everyday language, particularly in the context of investing in publicly traded companies. Equity is a more technical term that is often used in finance and accounting contexts.
What’s the difference in the tone of formality between stocks and equity?
Equity is a more formal term than stocks, as it is often used in technical and professional contexts such as accounting and finance. Stocks can be used in both formal and informal contexts.
