Mon 9 Oct 2006
A stock exchange, share market or bourse is a corporation which provides facilities (building, security, worldwide connections and telecommunications) for traders and stock brokers, to trade company stocks (shares).
Stock exchanges also provide financial instruments and events, including the payment of income and dividents. The company to be able to trade a security on a certain stock exchange has to be listed there.
A stock exchange is most important component of stock market. The price of stocks affected mainly by supply and demand law in all free markets.
Oldest working stock exchange is Amsterdam Stock Exchange (The Netherlands). Amsterdam Stock Exchange (AEX) is a trading platform for Euronext and got Guinness World Record as a oldest stock exchange in the world. This exchange was founded in 1602 for trading shares of The United East India Company of The Netherlands.
One of the youngest is Amman Stock Exchange. This exchange was found in Jordan and named after it’s capital city Amman.