How The Stock Exchange Works

 The stock exchange. What is it?  Basically, the stock exchange is nothing but a globally networked and organized place where large sums of goods are moved. Think of it as a large mall were there is a big discount and everyone crowds in and starts buying whatever they please. The stock market is not like a supermart though were anything and everything is up for sale. Most securities are traded witch are rights to access and commodities. More than 63 trillion dollars are traded every year in the form of shares of companies. Shares are nothing but parts of companies denotes in percentage. With shares, you give in x amount of money for x number of shares. Later when the company makes money you get that percentage of the money made by the company. The owner of the company should always own more than 50% of the total shares for a smooth running job. If the owner owns 40% of the company and the employees own 30% and the rest is in business partners. If those two shareholders combine they can overthrow the owner. The stock exchange is like real life you never know what is going to happen next.