What is a Stock Market?

We often assume the stock market is one big financial entity. In fact, there’s a stock market in England, Japan, several in the U.S., and many more.

When we talk about the stock market, it’s usually in generic terms. But within that, there are specific stock markets. So we might talk about the New York Stock Exchange or the Nasdaq. But beyond those big names, there are several markets within the U.S.

The Chicago Board of Options Exchange, the Boston Stock Exchange, and the Chicago Mercantile Exchange are just a few of the additional markets in the U.S. Then we can move to other countries and find the Toronto Stock Exchange in Canada, the Athens Stock Market in Greece, or Romania’s Bucharest Stock Exchange.

Many of these markets even have their own ETF, which basically tracks the performance of the country’s benchmark index.

Regardless of where a stock market is located, they all function more or less the same. They provide a marketplace for public companies to sell shares, and for investors to buy and sell them. The goal of an investor is to make money: to buy a stock low, and then sell it for a price higher than they paid. With a large volume of stocks, this can add up quite quickly.

The goal of the company that has gone public, is to increase the worth of their shares, because the principals at these companies often own a lot of them, and can cash them out as needed.

Fortunately, there’s less mystery surrounding investing in stocks on your own these days. With so much information at your fingertips, it’s easier to invest than ever.

To get started, download your FREE copy of How to Invest in Stocks and Other Investing Basics. This report will give you everything you need to get started with an investment portfolio – even if you’ve never thought about investing before.