Bumi Saham
In short
Bumi Saham is the portion of a company's total capital that is divided into small, tradable units owned by investors.
In plain words
When a company wants to grow, it splits its value into many tiny pieces. People buy these pieces to own a small part of the business. If the company does well, the value of these pieces usually goes up.
A simple example
If a bakery is worth £1,000 and is split into 1,000 pieces, each piece costs £1. If you buy ten pieces, you own 1% of the bakery.
Why it matters
It allows companies to raise large amounts of money without taking on debt. It also gives regular people a way to build wealth by participating in a company's success.
Easy to mix up
Do not confuse it with total company value, which is the whole pie rather than the individual slices.