Types of Stock Exchanges

Types of Stock Exchanges

There are several types of stock exchanges. Some are electronic and others are primary markets. Each has its benefits and disadvantages. This article will provide you with an overview of each type of exchange and what they do. Also, you’ll learn how they protect the interests of investors. If you’re wondering what a stock exchange is, this article is for you.

Electronic stock exchanges

An electronic stock exchange is a market where most trading takes place electronically. These exchanges are considered to be super-fast and efficient, and conduct billions of dollars in trades every day. A typical example of an electronic exchange is the Nasdaq, which requires that companies meet certain criteria to be listed on the exchange, and works with dealers to facilitate transactions between buyers and sellers.

The evolution of electronic stock exchanges is a result of the digital convergence of communication and internet technologies. The first exchanges …

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