What are shares in stock exchange market

Shares are securities which are being traded at stock markets.The price of each company shares are usually determined at stock exchange once the auctioning of shares have been done.

Companies have to first list or registered themselves at stock market inorder for them to trade in stock exchange by issuing shares to the public.

There are two types of market at stock exchange.

Primary market
Primary market is when the company list/registered itself at stock market for the first time and the shares they issue to the public for the first time is known as IPO(Initial Public Offering).

Secondary market
This is market whereby all the shares which were purchased during the IPO are the one which are being traded by public.The public can purchase or sell shares at secondary market.

Stock brokerage firm are responsible for the purchase and selling of shares to the public.So an individual or organization who wants to purchase or sell shares has to approach the stock brokerage firm inorder to purchase or sell shares.

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