What is the definition of Shareholder Equity SE ?

Shareholders Equity, or SE, is the amount of a company that is financed through shareholder investments such as Common Stock and preferred shares. It is made up of money invested in the company and Retained Earnings (this is usually the largest component).

There are two means of calculating shareholders equity:

• Total Assets - Total Liabilities
• Share Capital + Retained Earnings - Treasury Shares

The Formula for Shareholder Equity Is