What is the stock market:

Due to the decrease in interest rates on deposits,

most Russians turn their attention to buying valuable

papers. Statistics show that more than 3.5 million citizens are already

opened brokerage accounts. But not everyone fully understands what it is

the stock market and how it works. This is the conclusion I made,

analyzing the flow of questions and comments. To clarify

situations, wrote this article to help novice investors.

Stock market, what is this "beast"

In simple words, this is a specialized place where they trade

three main assets:

1 Bonds.

2 Shares of companies.

3 Shares of mutual funds (mutual funds).

The stock market dates back to 1556. Exactly then

the first exchange was opened, where they traded bills - debt

papers. In the Russian Empire, there was also a market for valuable

papers, but only until 1917. Only in 1991 he began his

development in modern Russia. At that time there were more

800 exchanges. By this number, the Russian Federation ranked first in the world. On

today the main trading platform is considered

Moscow Exchange ranked 22nd in the world.

In addition to the stock, there are also commodity (commodity), currency and

derivatives markets. The difference between the stock and all the others - with

buying securities, the investor becomes the holder of the asset

a certain company for an unlimited time. On urgent

market, you buy not a part of the asset, but the opportunity to buy

selling something in the future, at a fixed price at the time

making a deal. The foreign exchange market is engaged in trading

currency of different countries, commodity - trades in contacts for delivery

raw materials (agricultural direction, minerals

etc.).

How does he work

There are certain rules. They control time

transactions, regulate settlements among participants,

the procedure for holding tenders and admission to them.

There are four participants in the market:

1 Companies issuing securities - issuers.

2 Intermediaries between the exchange and investors are brokers . They

provide an opportunity for people to participate in the bidding.

3 Exchanges and depositories - provide work with assets and

with investors' money.

4 Persons who buy or sell securities -

investors and traders (traders).

All this "kitchen" is controlled by the Central Bank of the state. In the Russian Federation, it is

the central bank of Russia. He is supervisory and

the regulatory body, establishes

monitors their observance.