What is private share?

Private shares are shares of a company that are not publicly traded on a stock exchange. These shares are typically held by a small group of investors, such as the company's founders, employees, or early investors.

Investing in private shares can offer potential for higher returns compared to investing in publicly traded stocks, as the company's value may increase significantly over time. However, investing in private shares also comes with higher risks, as these shares are not as liquid as publicly traded stocks and may be harder to sell.

Private shares are typically bought and sold through private placements or secondary markets. Private placements involve selling shares directly to investors without going through a public offering, while secondary markets allow existing shareholders to sell their shares to other investors.

Overall, investing in private shares can be a unique and potentially lucrative investment opportunity for those willing to take on the added risks associated with this type of investment.