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General TradingF
Free Float
Free float refers to the number of a company's shares that are available for public trading on the open market, excluding shares held by insiders, promoters, and locked-up stakeholders. A higher free float generally means greater liquidity and less price manipulation risk.
Example
“Although the company had 100 million total shares outstanding, only 40 million were in the free float since the founder and early investors held the remaining 60 million in locked positions.”