Let’s start by defining a stock. Investopedia defines a stock as a “security that represents the ownership of a fraction of a corporation. In other words, a stock represents a piece of a company that investors can own.
– NYSE (New York Stock Exchange) – NASDAQ (National Association of Securities Dealers Automated Quotations) – London Stock Exchange Group – Euronext – Toronto Stock Exchange – Bombay Stock Exchange – Tokyo Stock Exchange – Shanghai Stock Exchange – Hong Kong Stock Exchange
The initial price of a stock is determined at its IPO (Initial Public Offering). Companies set the initial price based on the supply, demand, and the company’s performance.
Stocks are bought and sold as “trades” through stock exchanges. They’re traded through brokerages that have access to the stock exchanges.