Stock purchase and sell transactions through members

Stock exchange market
is a market in which old securities that have been already issued by means of
the organizations and other companies to the public are bought and sold through
legal dealers in line with certain regulations and guidelines. In addition, buyer
of securities can also find a direct seller who’s willing to sell his holdings
at a fair rate. The securities are sold and bought continuously a number of the
investors in these stock exchanges without the involvement of organizations.
Stock exchanges facilitate the free exchange of best the securities which can
be listed. The Stock Exchange is a definitely organized market in which
securities owners purchase and sell transactions through members of the
exchange acting as intermediaries. The contingent of members of the exchange
consists of individual traders in securities and financial institutions. It is
a place where the seller and the buyer of securities find each other, where the
prices for these securities are determined by the demand and supply for them,
and the process of purchase and sale is regulated by rules and norms, it is
some organized market of valuable securities. The goods in this market are
securities are stocks, bonds, etc., however the prices of these goods are the
rates of these securities.

The main purpose of the
exchange is to ensure a quick and effective resale of securities, meanwhile for
their owners is the possibility of exchanging securities for money. Another
aims of the stock exchange market are:

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1.         Creation of a specialized place
equipped with the necessary technical means for conducting trading operations

2.         The assessment of the quality of
securities of issuers and the admission to exchange trade only by highly
reliable securities

3.         Maintenance of quotations of securities
and establishment of an equilibrium price

4.         Creation of an organized securities
market in which the actions of participants are regulated by rules and
standards established by the exchange

5.         Securing guarantees for execution of
transactions with securities, delivery of securities and mutual settlements

 

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