Meaning & History of Stock Market

Meaning of Stock Market:

Stock market is a market of buyers and sellers where 

they buy and sell the stocks of listed companies 

throughe exchange. Stock market is also known

as equity market.Here in stock market investors

got a small slice of ownership in the company when

they start to buy and sell of a company.In stock

market company float the shares to general public

in an intial public offering to raise capital. Its a

meeting place of buyers and sellers where they do 

trade on comapnies share but a stock can only be

bought and sold if its listed on the exchange. 

History of Stock market:

Stock market playing now days an very important

role in our life, this market helping people to 

become financially free in their life and the most 

important countries around the world totally 

depedent upon the stock market business. 

There are a lot of govt and private sectors who

are investing their money in stock market, some 

of them could be govt, big money maker players, 

banks, and the retailors. 

As far I have heard about the history the first 

genuine stock markets did not arrive until the 

1500s.But there are a lot of countries who had

their own markets of dealing which which were

the same like stock trading market. Those 

countries were, france,some italian cities 

Belgium, Bruges,Flanders,Ghent etc.

After 1500 in 1602 one Dutch East India Company

offically became the first traded company who started

to do trade publically by releasing share fo company

in the Amserdam Stock Exchange.Stocks, bonds these 

were started to issued to the investors of Dutch East

India Company who were entiled to get a fixed percent

of company's profit. 

The first stock exchange The London Stock Exchange

was formed around to 1801, During that time of period 

there was no proper system of stock trading and it was 

mostly dealing with paper writing, etc. People were buying

and selling the stocks by writing it on the paper. And 

investors traded these stocks or had dealings with other 

investors in cofee shops. That time it had so much hard 

to make a difference between a legal and illegal stock 

trading company and so many scams happened during

that time of period. There was no proper regularly and 

companies had started to stop paying dividends to their

investors.After that there was a bann of issuing of shares 

Untill the 1825. London Stock Exchange had

limited features till 1825, means limited exchanging was 

allowed.

The creation of NYSE New York Stock Exchanged 

was come into play in 1817.And This stock exchange

had trades since the first day of joining. Slowly Slowly 

NYSE become one of the most powerful stock exchange

in the country.Because that time there was a lack of

domestic Competition. The other thing was the the 

position of this stock exchange was at the cent of

U.S Trade. For Europe, London Stock Excahnge was

its main stock market, on the other hand NYSE was 

the main exchange of world and the America. 

Crashes in Stock Market:

There are so many major stock exchange markets

who had serious crashes at some point of history.

when speculations are stretched far beyond the actual 

value of a stock then a stock market can crash. 

There were so many big major crashes through

out the history in this world. Some of them

are. 

Stock market Crash in 2008

Stock market crash in 1973-1974

Dot come bubble of 2000

Black Monday of 1987

Personally I don't have much knowledge of 

old crases but heard a lot about the 2008

crash out, and it was one of the biggest

crash out in stock market. A lot of people

had lost their money that time. the stock

market crash of 2008 occured in September

2008, I Don't know the date actually, The Dow

Jones Indistrial Average, fell 777 points something

in day trading session and was one of the biggest 

point drop in any single day in all history. 

Popular stock market in the world:

Personally I do trade much in US stocks only

I do trade with NASDAQ mostly but still we have

so many other largest stock markets in the world

right now and those can be also chosen for trading 

by investors and traders. some of them are as 

follows:

1. NYSE

2.Tokyo Stock Exchange

3.Australian Securities Exchange

4.London Stock Exchange

5.NASDAQ

6.Tokyo Stock Exchange

7.Shanghai Stock Exchange

Conclusion:

Now days every country have its own

stock exchange which helping traders 

and investors to do trade directly in their

country by their own country based 

exchanges. Stock market is one of

biggest market in the world where

a lot of people come and join every day

It can be more than a trillion industry.

But making money is not any kind of joke

or magic here, Trader's have to work with

proper learning, understanding and correction

only then they can earn a successful trader

post in this business. I hope that you all will 

act upon my words and will make this business

profitable for you. Thanks..