Stock Exchange

Stock Exchange

Stock Exchange

A stock exchange is a regulated venue where investors can buy and sell securities and financial instruments listed and/or admitted for trading on the exchange through brokers that are members. Because stock exchanges have rigorous disclosure requirements and offer live pricing, investors can execute trades instantaneously on the basis of full transparency. Exchanges act as an important channel for companies to raise finance through initial public offerings of equity, follow-on equity offerings or bonds.

Related terms