What is the New York Stock Exchange?


Quick Answer

The New York Stock Exchange is located on Wall Street in New York City, and is the biggest exchange of assets in the world as a result of the value of the financial assets being traded, according to Investopedia. It used to be a private organization, but went public in 2005. The NYSE used to rely only upon trading taking place on the exchange floor, but now the majority of trades happen within the exchange electronically.

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What is the New York Stock Exchange?
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Full Answer

Shares in some of the most well-known companies in the entire world are traded on this exchange, some of which are foreign. The NYSE is open for trading from 9:30 a.m. to 4:00 p.m. ET, and it is usually closed for major holidays, notes Investopedia.

In addition to being the site of trades, the NYSE sets trading policies, oversees activities of its member companies, lists securities, evaluates companies applying to the exchange and determines which members can hold seats, states InvestorWords.

The NYSE originated in 1792, when traders met and decided to exchange securities based upon a signed agreement. The open outcry system of verbal trading was the original method used by brokers, and helped fair pricing to flourish.

The New York Stock Exchange has a strict set of rules for the companies who are listed within the exchange.

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