This article tells you about Introduction: New York Stock Exchange (NYSE). The New York Stock Exchange is located in the lower Manhattan region, USA. It has the distinction of being one of the largest stock exchanges in existence. According to a recent estimation, the average MarketCap of NYSE stands at US$28.5 trillion.
The number of companies listed with this exchange is 2773. Interestingly, the NYSE Euronext monitors and manages the same exchange. Readers might be already aware of the fact that Euronext is a European stock exchange that has subsidiaries in various countries such as Paris, Belgium, Portugal and Netherlands.
The NYSE was not exactly a fully-fledged electronic trading platform. However, after the recent merger with Euronext, NYSE began to utilize the high-speed data networks of the former. Ever since its introduction to the American fiscal markets, back in 1792, the NYSE has managed to capture the attention of investors across the globe due to transparent trading practices.
Despite facing lots of perils and disadvantageous situations throughout its history, the sheer trading volume of this stock exchange still marvels many. In the following passage, I will illustrate how trading is conducted in the New York Stock Exchange.
The trading time of the New York Stock Exchange starts from 9:30 and culminates by 16:00 every weekday. Trading does not occur during the weekends; the exchange also ceases trading during public holidays. The electronic trading platform will enable the traders and stockbrokers to monitor and conduct business through the internet.
However, an ulterior auction based trading system is also prevalent in the same exchange. The major share of the traders happens to be representatives of the stockholders who will act on behalf of their clients. Interested traders must participate in auctions that are conducted by entities, which represent various companies listed with the exchange.
It is safer and more secure to opt for the electronic trading practice while peddling for equities and financial securities in the New York Stock Exchange. The late implementation of such speedy procedures (in 2007) has not deterred the traders and stockbrokers. It is estimated that it might take an average of nine seconds to execute manual transactions. Nonetheless, one will be able to save time by opting to trade using the high-speed data networks.
Many, instead of re-routing it into the trading floor where a broker will be monitoring and managing the various trading activities, prefer the almost immediate execution of trade orders. The entire ordeal has been conveniently termed as a hybrid market!
One of the other interesting aspects of the New York Stock Exchange is the ability of an inexperienced trader to learn the basics of equity and derivative trading through various educational programs. As awareness about trading practice increases, people tend to invest more into the market. This will add to the liquidity and volatility of the stock market.
You must be aware of the New York Stock Exchange regulations to enjoy a seamless trading experience. Interesting events always take place in this exchange – why must you miss all the fun.