The term 'Stock Exchange Trading' suggests the exchange of stocks or shares, or other securities of companies that are carried forward by brokers or traders of stocks. Parties concerned with stock trading can be an individual or a company. The market for such exchanges is called Stock Exchange.
A stock exchange is the chief component of a stock market. Supply and demand forces in stock markets is guided by various factors which, as in all free markets, affect the price of stocks. Stock Exchanges also provide facilities for the issue and redemption of securities as well as other financial instruments and capital events including the payment of income and dividends. The securities involved in Stock Exchange Trading include:
Shares issued by companies
Unit trusts
Other pooled investment products like bonds
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