Trading mechanism, Finance Basics

Trading Mechanism

1. An investor approaches brokers who obtain his bid or prefer to the trading floor.

2. At the trading floor, the selling and buying brokers meet and seal that deal.

3. The investor is informed of what occurred or transpired on the trading floor during a contract notice. The notice is send to selling and buying investors.

The notice haves details as like:

  • Number of shares sold or bought
  • Buying or selling price
  • Charges or commission payable etc.

4. Settlement is completed via the brokers.

5. Old share certificate is cancelled or for selling investor and a latest one is issued in the category of buying investor.

Posted Date: 2/1/2013 1:06:15 AM | Location : United States







Related Discussions:- Trading mechanism, Assignment Help, Ask Question on Trading mechanism, Get Answer, Expert's Help, Trading mechanism Discussions

Write discussion on Trading mechanism
Your posts are moderated
Related Questions
Bases of Share Valuation Share valuation can be done on the basis of income and asset values. On the basis of income still a share will be entitled to two forms of income. For

Constant payout ratio 1. This is whereas the firm will pay a fixed dividend rate as like 40 percent of earnings. The DPS would consequently fluctuate as the earnings per share

Explain importance terms of Money, Banking, and the Federal Reserve System. Importance terms of Money, Banking, and the Federal Reserve System: a. The several roles money pl

Maghrabi Enclosure follows a moderate current asset investment policy, but it is considering whether to shift to a different strategy.  The firm's annual sales are $500,000; its fi

CBK - Monetary Policy The money supply in the economy has a main effect on both the rate of inflation and the level of economic activity. The level of money supply is controll

Factors that Influence the Cost of Finance 1. Terms of reference - if short term, the cost is generally low and vice versa. 2. Economic conditions prevailing - If a com

We have 10.000 genes and 4.000 of them are annotated for a certain attribute of interest. a. If we have a single set of 10 genes, how many of them should be annotated to be cons

If you inherited $ 45,000 today and invested all of it in a security that paid a 7 percent rate of return, how much would you have in 25 years?

John has just retired & she is running out of cash. Her finanical planner advises her to do reverse mortage to improve her standard of living. The current market value of her self

How to compute the IRR of data