Stockholding within business finance can have two meanings:

  1. Owning shares in a company – This is the most common meaning. When you buy stock in a company, you become a shareholder. You’re essentially owning a tiny piece of that company. Shareholders have certain rights, like voting on company decisions and receiving profits (dividends) if the company does well.
  2. Inventory – This is less common, but sometimes “stockholding” refers to the physical inventory a business holds. This could be raw materials they need for production, finished goods ready for sale, or even office supplies.

So, depending on the context, ‘stockholding‘ could refer to your investment in a company (shares) or the company’s own inventory of goods.