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The Financial Stock Markets

Once a financial claim or security is issued by a corporation it can be traded in

the secondary market on an organized security exchange such as the New York Stock Exchange. Trades made through an exchange usually are made on the floor of the exchange or through its computer system.

Organize security exchanges provide a physical meeting place and communication facilities for members to conduct their transactions under a specific set of rules and regulations. Only members of the exchange may use the facilities and only securities listed on the exchange may be traded. The New York Stock Exchange is the largest securities exchange for stocks. The Chicago Board of Trade and the Chicago Mercantile Exchange are the largest futures exchanges.

Financial claims also can be traded over-the-counter by visiting or phoning in over-the-counter dealer or by using a computer system such as that operated by the National Association of Securities Dealers that links over-the-counter dealers. Over-the-counter markets have no central location. Usually however they have strict rules that must be followed by dealers in the market the National Association of Securities Dealers regulates trading in US securities markets and may penalize or deny trading privileges to members who do not abide by the rules. Those who want to take advantage of best forex trading may do so.

As regulations are passed to ensure the security of all then in theory all should be just and we could all take advantage of forex trading tips. That is not the case. For every stock market tycoon who who goes down in the flames of corporate malfeasance that have been time after time ignored reports of criminal activity to the securities exchange commission. Regulations only work when there unilaterally enforced. Selective enforcement of laws and regulations protect the criminals and punish those who are following the laws for no other reason than it allows these criminal types to make away with their ill-gotten gains and only pay back a pittance as a fine. How do you graph this kind of risk on a stock chart?

by: Rhab Hendrik
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The Financial Stock Markets Anaheim