The term securities market actually means a virtual platform where investors in the form of investment professionals and brokers buy and sell and also lend out securities, in exchange for an amount that is equal to their market price. It is an integral part of the securities industry as this is the place where the entire transaction is carried out.
The securities market is also called the stock market and stock exchange in popular terminology. The stock exchange situated in New York is called the American Stock Exchange, besides AMEX, or Curb. Bourse is the Parisian stock exchange. There is an element of membership associated with stock markets.
The NYSE, New York Stock Exchange is one of the most famous stock exchanges all over the world. An OTC or over-the-counter market is one form of stock exchange where the business is conducted over telephones or computers, instead of any actual place as such.
A customer is able to get the latest news on the market trends and averages and then decide the best for themselves. It is a common saying in the stock exchange circles that small investors are never satisfied with the returns.
The market analyst is the most important person around in these places. It is the job of the market analyst to assess the market conditions and the factors that are influencing them.
Some of the most important terms of the stock market are as follows:
Bid price � It is the price or value the agent is willing to offer for buying a certain security Closing price – It is the price at which transactions have closed in the stock market Offer price – It is the price at which an agent is ready to sell his securities Support price – It is the probable price which could make a certain security look attractive to buyers Pyramid – It is a set of dealings whereby someone with securities, could keep them till their prices rise to a point where he may use them for buying further securities Price-to-earnings ratio – It is the dividend of the market worth of a stock with its income over various dealings
Last Updated on : 26th June 2013