Introduction
Stock market is an entity which is used publicly. Stock market investing is not a discrete entity or not a physical facility. At the beginning of October 2008, the size of the world stock market considered to be approximately $36.6 trillion. The world derivatives market is approximately estimated at about $791 trillion; which is either face or nominal value. This amount is 11 times the economy of whole world. The values are stated in terms of national values. This value can not be compared to the fixed income security as it refers to the actual value. Stocks are the entities of stock exchange, which are entities of a corporation. In United States of America there is the largest stock exchange market which is known as New-York Stock Exchange (NYSE).
History
Toronto Stock Exchange market is the largest market in Canada. There are some of the examples of stock exchange market in Europe which are Amsterdam Stock Exchange, London Stock Exchange, Paris Bourse Stock Exchange and Frankfurt Stock Exchange. There are also some of the exchange markets in Africa like Nigerian Stock Exchange, JSE Limited and etc. In Asia there are some stock markets like Singapore Exchange, Tokyo Stock Exchange, Hongkong Stock Exchange, Shanghai Stock Exchange and Bombay Stock Exchange. There are some of the examples in Latin America like BM & F Bovespa and BMV. There are many market participants like retail investors and institutional investors. In institutional investors there are mutual funds, insurance companies and different banks etc. Institutional investors receive higher risk adjusted returns.
Features
For any average investor stock market investing has not been that much profitable. Long term stock market returns are out-performed by small percentage of individual investors. It is very difficult to match their level. This finding has lead to two factors which are significant. There is a primary thing that most of the investors try to time investing in the market. Stock is the term which is a small share; showing an equal part of ownership of company. Stock market investing is very huge as compared to the term “stocks”; it is an automated store which allows buyers and sellers to exchange the stocks. This process assists in setting the prices of shares. You can share some sort of goods between different parties which decreases the distribution prizes. Stock market works just like market place. Stock market investing is considered to be one of the most important decisions of investment. If you think in long term then it is considered to be a good decision; which involves many kinds of risks.
Tips and comments
The stock market is considered to be very competitive; it always changes with time. These changes are sometimes sensible which means easy to understand, but mostly it is very difficult to demonstrate the reasons for those changes. Stock market investing is derived by the two terms. These terms are supply and demand. The number of available shares of stocks is known as supply and the numbers of shares of stocks that are required by the investors is called demand.
