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Showing posts from May, 2020

What is a Stock

The stock market refers to the collection of markets and exchanges where regular activities of buying, selling, and issuance of shares of publicly-held companies take place. A stock market is a similar designated market for trading various kinds of securities in a controlled, secure and managed the environment. Since the stock market brings together hundreds of thousands of market participants who wish to buy and sell shares, it ensures fair pricing practices and transparency in transactions. While earlier stock markets used to issue and deal in paper based physical share certificates, the modern day computer aided stock markets operate electronically. They perform several functions in markets, including efficient price discovery and efficient dealing. There are many different types of players associated with the stock market. Each has a play unique role, but many of the roles are intertwined and depend on each other to make the market run effectively.