Stock Splits Explained

Stock splits can lower the price of shares, making investing more accessible for beginners. The historical context reveals that individual investors once faced high commissions when trading in lots of 100 shares, which made share price significant. As companies like Apple and Amazon split their stocks, they not only enhance market participation but also influence how both novice and seasoned investors perceive value, especially in cases like Berkshire Hathaway's high-priced shares.