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stock market exchange
stock market exchange. Organized and regulated financial market where securities (bonds, notes, shares) are bought and sold at prices governed by the forces of demand and supply. Stock exchanges basically serve as (1) primary markets where corporations, governments, municipalities, and other incorporated bodies can raise capital by channeling savings of the investors into productive ventures; and (2) secondary markets where investors can sell their securities to other investors for cash, thus reducing the risk of investment and maintaining liquidity in the system. Stock exchanges impose stringent rules, listing requirements, and statutory requirements that are binding on all listed and trading parties.
Trades in the older exchanges are conducted on the floor (called the 'trading floor') of the exchange itself, by shouting orders and instructions (called open outcry system). On exchanges, trades are conducted over telephone or online. Almost all exchanges are 'auction exchanges' where buyers enter competitive bids and sellers enter competitive orders through a trading. Some European exchanges, however, use 'periodic auction' method in which round-robin calls are made once a trading.
Different stock market exchanges have different requirements for getting listed. However, the common denominator of all considers how many shares a company has sold and how much it has earned in a given time frame. What this means to you as an investor, is that when you decide to trade, depending on who you choose to work with, there's a degree of security placed upon your investment.
Stock market exchange is the new revolutionized money making by any individual who can use a computer and has access to an internet. As long as you have the motivation and dedication to focus on the trending stocks or shares you can definitely earn something. It is not an instant millionaires idea but as I had earlier said with the right focus on the trends you can surely profit from it.