New York Stock Exchange: The Largest Securities Marketplace In The World
Friday, April 4th, 2008The New York Stock Exchange is the largest marketplace of equities in the world based on the combined value of its US currency volume and listed securities. An achievement started by several enterprising men more than two centuries ago. Who could have said that a mere agreement, made under a buttonwood tree in Wall Street, would play a tremendous role in the global equities market?
Billions of dollars worth of shares and stocks are traded daily in the New York Stock Exchange. This feat is accomplished by the most technologically efficient market trading system in the world. This system and the prestige that the “Big Board” has is the reason why major players and Fortune 500 companies, from across the globe, are listed in the exchange.
The New York Stock Exchange is comprised of companies who trade on the floor for numerous US companies and entities from around the world. They directly buy and sell shares from a special group of auctioneers representing seat owners. These seats are owned by large firms who can afford to buy their place in the exchange, priced at millions of dollars. This privilege allows them to trade and handle billions of dollars in market orders directly to the member companies.
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.
It does not matter if you invested only a small amount in a company or have a large number of shares; the corporate governance policy of the New York Stock Exchange is created to the protection of investors. Companies are obligated to treat all their shareholders equally regardless of percentage of ownership. They must inform the public on a regular basis any information relevant to the financial standing of the company. The exchange is known for enforcing its high standards of transparency and responsibility. Read more 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.
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