New York Stock Exchange (NYSE)
What is the New York Stock Exchange?
Also known as the 'Big Board', the New York Stock Exchange (NYSE) situated on Wall Street in Manhattan, is one of world's largest and best-known equity markets.
Where have you heard about the New York Stock Exchange?
The boom and bust arc of the ruthless trading floor of NYSE has inspired many a Hollywood film, including the recent blockbuster The Wolf of Wall Street. The NYSE also dominated the news following the financial crisis of 2008 when the famous Wall Street address was sometimes used as shorthand when talking about the irresponsible trading that was highlighted as a major factor in the crash.
What you need to know about the New York Stock Exchange...
During trading hours, the NYSE acts as a sort of financial auction house, with traders buying and selling shares in companies that are registered for public trading on behalf of investors. Traditionally the stock exchange relied solely on floor trading and the open-outcry system but now the majority of NYSE stocks can be traded on its hybrid electronic platform.
The performance of all the stocks listed on the NYSE is measured on the NYSE Composite Index. Because all NYSE stocks have to meet demanding listing requirements and it includes many foreign stocks, the index is known by investors for its quality and global diversity.
Although formerly a private organisation, the NYSE went public in 2005 and owes its current size and global reach to a series of mergers. In 2013 the NYSE was bought by the Intercontinental Exchange for $11 billion.