how sale and purchase of securities take place in stock exchange
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Answer:
buyer purchases the securities directly from the seller through the broker.
Explanation:
The broker market consists of national and regional securities exchanges that bring buyers and sellers together through brokers on a centralized trading floor. In the broker market, the buyer purchases the securities directly from the seller through the broker.
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An exchange is a marketplace where buyers and sellers of securities (such as stocks and bonds) meet to trade their securities.
Explanation:
- In the United States, stock exchanges are regulated by the Securities and Exchange Commission (SEC).
- The primary function of an exchange is to provide a marketplace where buyers and sellers of securities can meet to trade their securities.
- An exchange also acts as a regulatory agency for the securities traded on its platform.
- When a company needs to raise money, it typically sells shares of its own stock to investors.
- The company offers investors a certain number of shares in exchange for a certain price, which is called a price per share.
- This is how a stock sale works. If a stock goes up in price, the value of the shares increases.
- The process of sale and purchase of securities takes place in the stock exchange.
- This is a platform through which the investors and sellers of securities come together and transact business.
- The investors are the ones who purchase the securities and hold them as an investment.
- The sellers are the ones who are looking to sell their securities to the investors.
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