123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Business >> View Article

The World Of Stock Market

Profile Picture
By Author: Ronaldo fisher
Total Articles: 29
Comment this article
Facebook ShareTwitter ShareGoogle+ ShareTwitter Share

NYSE, NASDAQ, Amex, Paris Bourse, Deutsche Borse, London Stock Exchange are just a few of the highly observed and traded stock exchanges in the world. The size of the global stock market is approximately $51 trillion. While the derivatives market is estimated to be worth roughly $480 trillion or 12 times the value of the world economy. No wonder why the stock market plays a big role in defining the financial institution of every nation.

The Dutch East India Company was the first company to issue stock and bonds. In 1602, it issued the first shares on the Amsterdam Stock Exchange. Also known as Amsterdam Beurs, the Amsterdam Stock Exchange is believed to have been the first stock exchange to establish a continuous trading during the early 17th century. The Dutch initiated option trading, short selling, debt-equity exchanges, unit trusts, merchant banking and other speculative instruments; according to the London Review of Books of 2001.

Below are the very basic of stock trading, what is it all about? Who are the parties involved in buying and selling stocks? How does it work? And how does it affect the ...
... economy? Read on and you will learn the core of stock market

What
A stock market, also known as equity market, is either a public or private market in which company stocks and derivates are traded at an agreed price. The stocks are traded on a stock exchange, a specialized mutual organization that brings sellers and buyers of stocks and securities together.

Who
In the past, only wealthy investors and businessmen with long family affiliations to particular corporations are interested in the stock market. Nowadays, buyers and sellers in the stock market can be individual investors, insurance companies, banks, mutual funds, investor groups, and hedge funds. The growth of institutional investor also provided some improvements on the stock market.

Where
The trading of buyers and sellers can be physically or virtually. A sample of physical exchange, also referred to as listed exchange, is the New York Stock Exchange (NYSE) where transactions are accomplished on a trading floor. The NASDAQ on the other hand is a virtual exchange where trades are done electronically or via a network of computers.

How
Stock trading involves a potential buyer bidding a definite price for a stock and a potential seller asks a specific price for the stock. When the bid and ask prices match, then a sales occurs on a first come first served basis in case there were several askers or bidders at a given stock price. In a physical stock exchange like the NYSE, commodity exchanges are traded and bided verbally on a trading floor. This procedure of verbal bidding is called outcry. While virtual listed exchange like NASDAQ matches potential buyers and sellers electronically.

Why
Apparently, the stock market is one of the most essential sources for companies to raise fund. Also, the liquidity of stock trading provides investors the ability to sell securities easily and quickly. Though the behavior of stock market is still quite surprising and unpredictable to many, there has been a significant increase in shift of household financial assets from traditional bank deposits to the more risky securities of stock market.

About the Author:
Investing in the stock market; Information for beginners.
visit http://www.stockmarketmix.com/ for more info.

NYSE, NASDAQ, Amex, Paris Bourse, Deutsche Borse, London Stock Exchange are just a few of the highly observed and traded stock exchanges in the world. The size of the global stock market is approximately $51 trillion. While the derivatives market is estimated to be worth roughly $480 trillion or 12 times the value of the world economy. No wonder why the stock market plays a big role in defining the financial institution of every nation.

The Dutch East India Company was the first company to issue stock and bonds. In 1602, it issued the first shares on the Amsterdam Stock Exchange. Also known as Amsterdam Beurs, the Amsterdam Stock Exchange is believed to have been the first stock exchange to establish a continuous trading during the early 17th century. The Dutch initiated option trading, short selling, debt-equity exchanges, unit trusts, merchant banking and other speculative instruments; according to the London Review of Books of 2001.

Below are the very basic of stock trading, what is it all about? Who are the parties involved in buying and selling stocks? How does it work? And how does it affect the economy? Read on and you will learn the core of stock market

What
A stock market, also known as equity market, is either a public or private market in which company stocks and derivates are traded at an agreed price. The stocks are traded on a stock exchange, a specialized mutual organization that brings sellers and buyers of stocks and securities together.

Who
In the past, only wealthy investors and businessmen with long family affiliations to particular corporations are interested in the stock market. Nowadays, buyers and sellers in the stock market can be individual investors, insurance companies, banks, mutual funds, investor groups, and hedge funds. The growth of institutional investor also provided some improvements on the stock market.

Where
The trading of buyers and sellers can be physically or virtually. A sample of physical exchange, also referred to as listed exchange, is the New York Stock Exchange (NYSE) where transactions are accomplished on a trading floor. The NASDAQ on the other hand is a virtual exchange where trades are done electronically or via a network of computers.

How
Stock trading involves a potential buyer bidding a definite price for a stock and a potential seller asks a specific price for the stock. When the bid and ask prices match, then a sales occurs on a first come first served basis in case there were several askers or bidders at a given stock price. In a physical stock exchange like the NYSE, commodity exchanges are traded and bided verbally on a trading floor. This procedure of verbal bidding is called outcry. While virtual listed exchange like NASDAQ matches potential buyers and sellers electronically.

Why
Apparently, the stock market is one of the most essential sources for companies to raise fund. Also, the liquidity of stock trading provides investors the ability to sell securities easily and quickly. Though the behavior of stock market is still quite surprising and unpredictable to many, there has been a significant increase in shift of household financial assets from traditional bank deposits to the more risky securities of stock market.

About the Author:
This article was created by http://www.stockmarketmix.com/, a portal of information for stock market investing, Stock Exchange for beginners.
Visit http://www.stockmarketmix.com/secciones.html for more information.

Total Views: 304Word Count: 1179See All articles From Author

Add Comment

Business Articles

1. Why High Quality Wrench Tools Matter For Every Professional Technician
Author: Chrishjordan

2. Affordable Minibus Rental | Safe & Comfortable Group Travel
Author: Pakistan China Cargo

3. Lead Recycling Plant Manufacturer
Author: mettherm inc

4. What Are The Safety Precautions For Handling Calcium Hydroxide?
Author: Shaurya Minerals

5. Narang Group: Pioneering Innovation, Quality & Growth Across Sectors
Author: Narang Group Ltd

6. Spinal Decompression Therapy For Chronic Spine Pain Relief
Author: ajay

7. Top Bpo Outsourcing Company In Noida | Best Bpo Solutions By Zoetic Bpo Services
Author: mohan

8. Why Businesses Require Esg And Environmental Sustainability Consulting Services In Dubai For Sustained Growth
Author: sweta

9. Achieve Certification With Assurance: Collaborate With The Best Iso Certification Company In Ksa
Author: Riya

10. Unlocking Software Quality: Why Software Testing Consultancy And Quality Acceptance Testing (qat) Matter For Modern Businesses
Author: kohan

11. Assault Lawyer Milton, Newmarket, And North York: Local Defence For Serious Allegations
Author: michellumb44

12. Criminal Lawyer Vaughan And Assault Lawyers In Markham And Midland: Local Defence You Can Rely On
Author: michellumb44

13. Criminal Lawyer North York, Ottawa, And Toronto: Local Defence For Serious Charges
Author: michellumb44

14. Criminal Lawyer Midland, Milton, And Newmarket: Local Defence When Your Future Is At Risk
Author: michellumb44

15. Criminal Lawyer Brampton, Hamilton, And Markham: Your Local Defence For Serious Charges
Author: michellumb44

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: