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New York Stock Exchange:The Largest Marketplace In The World |
By:
Dean Forster |
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New York Stock Exchange:The Largest Marketplace In The World
Dean Forster
The New York Stock exchange was established in 1792 when 24 stockbrokers gathered under a buttonwood tree at 68 Wall Street and signed what was called the Buttonwood Agreement. Since then, the New York Stock Exchange has grown to become the biggest exchange in the world. Its success is measured in the dollar volume and listed securities on the exchange.
Because it is the largest equities marketplace in the world, billions of dollars of shares are traded daily. The total global market value of the listed companies is estimated at $25 trillion dollars. This includes non-U.S. companies which are worth $9.6 trillion dollars. The stock exchange's primary function is to allow investors to buy and sell shares of the publicly traded companies they list. These companies are a cross-section of large, midsize and small capitalization companies.
Specialist auctioneers, who are authorized to handle the buying and selling of exchange members representing various international clients, are employed by an elite group of New York Stock Exchange firms. Only the most solid and financially capable firms could own a "seat" in the exchange, the most sought-after commodity in the market. Owners of these seats have the privilege to trade billions of dollars directly in the exchange.
The goal of the New York Stock exchange is to ultimately bring buyers and sellers of publicly traded companies together in a fair marketplace where every one has a fair chance to purchase stocks. This allows for companies to sell stocks to raise money for business operations, while at the same time giving the general public the opportunity to make investments in major companies in the United State and around the globe. This means that anyone can go to a brokerage firm that is allowed to trade directly and buy stock in any company from Exxon to General Foods.
If you only by a few shares in a large company like Coca Cola, you might not think your investment counts for much, but that isn't exactly true. In order for a company to list shares on the exchange, the exchange requires that the company provide the same complete financial information to anyone who owns even one share of stock.. This includes and invitation to the annual stockholder's meeting. Find out more about the stockmarket at http://www.learningtotradestock.com
The New York Stock Exchange maintains its reputation of protecting investors through the regulation of activities by its member-brokers. Seat ownership is not only a huge responsibility, it is only for solid and secure corporations who can put-up the millions of dollars needed to become a member of the exchange.
The New York Stock Exchange does not lack either in historically significant facts about its members. For example, the first company to be listed in Wall Street was the Bank of New York, trading in the same year of the organization's creation. The New York Gas Light Company holds the record for the longest listed corporation. The exchange had a telephone installed in the building in 1978 before it got electric lights five years later.
The New York Stock Exchange also issues licenses to directly trade to its members. This license and the fact that they are being regulated by the exchange, is another way of ensuring the public that their money are being invested by capable companies.
Before you start to invest, purchase or trade shares in a company, read more about how to http://www.learningtotradestock.com/ trade stock and make sense of the stockmarket at http://www.learningtotradestock.com/arbitrage-trading.php) arbitrage trading
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Article Source: http://www.PopularArticles.com/article151841.html |
Article: New York Stock Exchange:The Largest Marketplace In The World
Author: Dean Forster
Total Views: 34
Word Count: 589
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