The 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?
Although majority of its listed companies come from US companies, its non-US players are growing exponentially. The New York Stock Exchange uses technologically advanced systems to provide an efficient method of trading stocks registered for public offering. It is this ability that appeals to top corporations and numerous investors from around the world.
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 New York Stock Exchange primarily started as a non-profit entity to help companies raise their capital by providing a venue for trading stocks and bonds. These companies earn by offering a percentage of ownership to the public, who in turn could earn as well from the shares if their value increases in the market. There are about 2,800 US companies and from other countries listed in the exchange. Anyone can own stock from these multi-million dollar companies, such as Microsoft and Wal-Mart.
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.
In the two hundred years of its existence, the New York Stock Exchange has an endless list of historical facts and trivia to share. The Bank of New York was the first company listed under the buttonwood tree. Con Edison, listed as the New York Gas Light Company, has been the exchange’s longest member. In 1878, the exchange started using telephones but only installed electric lights in 1883.
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.