Wednesday, 15 July 2015

STOCK MARKET ANATOMY-1

Hello friends!!!
from today we are starting off with our series about
“STOCK MARKET”
See guys/gals this is a very vast oceanic subject but we’ll be starting from scratch to where it takes us
So today let us first take a look at some of the basic terms that will be used daily in our series
1. STOCK – the capital raised by a company or corporation through the issue and subscription of shares.
2. STOCK MARKET – Stock Market is a market where the trading of company stock, both listed securities and unlisted takes place. It is different from stock exchange because it includes all the national stock exchanges of the country.
3. STOCK EXCHANGE – Stock Exchanges are an organized marketplace, either corporation or mutual organization, where members of the organization gather to trade company stocks or other securities. The members may act either as agents for their customers, or as principals for their own accounts. Stock exchanges also facilitates for the issue and redemption of securities and other financial instruments including the payment of income and dividends. The record keeping is central but trade is linked to such physical place because modern markets are computerized. The trade on an exchange is only
by members and stock broker do have a seat on the exchange
4. CAPITAL – wealth in the form of money or other assets owned by a person or organization or available for a purpose such as starting a company or investing.
5 TRADING – the action or activity of buying and selling goods and services.
“”””After reading these a question should strike your mind that is their any difference between stock and capital?”””””
THINK ABOUT IT !!!!!

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