...The NYSE and NASDAQ The two most important stock exchanges are the New York Stock Exchange and the NASDAQ. These are both considered secondary markets where stocks are traded among investors. The NYSE, also known as the “Big Board”, located on Wall Street in Manhattan, New York. Based on dollar volume and value of shares listed, it is the largest stock market in the world. It can be traced back to the Buttonwood Agreement that occurred in 1792. A group of twenty-four signed this agreement in an effort to set a floor commission rate charged to clients. At this point, the securities most commonly traded were War Bonds from the Revolutionary War. Around 1817, brokers operating in New York under the Buttonwood Agreement worked on reorganizing themselves, and they became the New York Stock and Exchange Board. The New York Stock Exchange trades stocks in a continuous auction format and is generally open 5 days a week between 9:30 am and 4:00 pm. Traders, gather around a specialist broker, who acts as an auctioneer in an effort to bring buyers and sellers together. In 1995, all trades were processed on wireless hand-held computers, which ended a 203 years process of paper trades. Originally a gavel was used to signal the opening and closing of trading. However, in the 1800’s a gong was used. Today a bell is used, and it is quite common for a “VIP” to do the ringing of the bell. Some notable bell ringers include Joe DiMaggio, Michael Phelps, Nelson Mandela and Rudy...
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...than they buy it back. Ordinarily they can make money in either rising or falling markets, by taking advantage of the difference between "bid" and "offer" prices. c. How do the market makers compete with one another? 1) Each market maker competes for customer order flow by displaying buy and sell quotations for a guaranteed number of shares. Once an order is received, the market maker immediately sells from his own inventory or seeks an offsetting order. 2) Market makers also compete against each other to post the best prices, and the prices they offer which are available, in real time, to subscribers. Q2: How does the NASDAQ quoting convention work? A2: The quoting conversion in NASDAQ is known as the common understanding of the manner that bid-ask prices of the stock which established by different market makers displayed in NASDAQ. Bid or ask quotes must be multiples of $1/8 if the bid price exceeds $10. Under this quoting convention, market makers use...
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...Grade Recieved - A You have been asked to write a report for a group of new stock brokers about the NYSE-Euronext and the NASDAQ. Visit both the NYSE Homepage, and the NASDAQ Homepage, and write a paper of 2–3 pages on how the two exchanges operate. Make sure to address the following three questions: How are NYSE and NASDAQ similar, if at all? How are the two exchanges different from one another, if at all? What is The Public Company Accounting and Investor Protection Act of 2002? Describe the law in your own words. Abstract The NYSE (New York Stock Exchange) and NASDAQ Stock Market (National Association of Securities Dealers Automated Quotations) are the top two stock exchanges in the world with the New York Stock Exchange as number one and both are located in New York City. The New York Stock Exchange and National Association of Securities Dealers Automated Quotations have similarities and also have their differences. This paper will also describe what The Public Company Accounting and Investor Protection Act of 2002 are. There are many ways that the New York Stock Exchange and National Association of Securities Dealers Automated Quotations are similar. These two exchange centers account for the majority of trade that are related to equities within the United States and European stock market. The two stock exchange centers specialize in trading stock options, cash equities, fixed incomes and also exchange traded goods. In order to keep the flow of the...
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...NYSE and NASDAQ American Intercontinental University Online Abstract The NYSE and the NASDAQ offer people the opportunities to purchase interest in various companies they feel are doing well and are going to continue doing well. Investors must understand while there are similarities between the two trading platforms there are several differences to the types of shares and the way they are purchased. Investors are now more protected against fraudulent and dishonest actions performed by companies who try to make their company appear healthier than it really is. NYSE and NASDAQ The potential of making large sums of money in short periods of time can be achieved through the well-minded trading of stocks or equities on a stock market. Two of the most well-known stock trading providers or platforms are the New York Stock Exchange (NYSE) and the National Association of Securities Dealers Automated Quotation (NASDAQ). If a person is deciding to become an investor they must understand while these two trading platforms have similarities they operate in different realms. Before determining the differences of the NYSE and the NASDAQ the similarities must be explained. Both the NYSE and the NASDAQ offer high-end services and are known for their exchange of stocks in the primary and secondary market (NASDAQ vs the NYSE, 2012). Both trading platforms offer real time details of the daily stock exchanges so investors are able...
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...NYSE vs. NASDAQ Two of the world’s largest organizations in which stock is traded are the NYSE-Euronext and the NASDAQ. As person who is new to stock brokering, it is important to be familiar with the similarities and differences between the two organizations. The New York Stock Exchange and the NASDAQ are two organizations that operate with the purpose of buying and selling stock in the stock exchange market. Both the NYSE and NASDQ operate globally and are in the top largest exchanges in the world. The two companies are similar because they are both publically traded companies that have locations in New York City and they trade globally. Both companies operate as a national securities exchange and are well known for their exchange of equities between buyers and sellers. Both the NYSE and NASDQ promote that they offer innovative trading technologies on their websites because they both buy and sell stock electronically. The NYSE is different from NASDAQ because it operates electronically through NYSE Euronext as well as through a process where stock brokers have a live auction with people on the floor of the stock exchange screaming at other people to buy or sell stock (Knight-Ridder 1994). According to Knight-Ridder, the NYSE is also different from NASDAQ because stocks on the NYSE are bought and sold through a licensed broker. Fees at the NYSE are also higher than NASDAQ so companies being traded on the NYSE are usually larger in nature. The NASDAQ, was created...
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...A Discussion about the NYSE and NASDAQ Dannielle Gribble American Intercontinental University Abstract The purpose of this paper is to discuss both the differences and likenesses between NASDAQ and the NYSE. Also mentioned in this paper is a brief discussion about “The Public Company Accounting and Investor Protection Act of 2002” and its impact on public businesses as well as the investors thereof. A Discussion about the NYSE and NASDAQ NASDAQ and the NYSE are both popular in the sector of trading. NASDAQ represents National Association of Securities Dealers Automated Quotation and NYSE stands for the New York Stock Exchange. As I researched the NYSE and NASDAQ, I was only able to locate a few similarities between the two companies. The first similarity is that both NASDAQ and NYSE are companies that participate in the business of stock exchanging. The second similarity that both NASDAQ and the NYSE share is that they both match the necessity for stock supply and demand. The third similarity between NASDAQ and NYSE is that they both hold most of the equity that is traded in the US. That is made possible, in that, most of the trading that occur in the US takes place by either NASDAQ or the NYSE. The fourth similarity is that both companies offer high-end services for trading. While there are a few similarities between NASDAQ and the NYSE there are definite differences between the two. One difference is that NASDAQ is commonly recognized as the high-tech...
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...that the New York Stock Exchange (NYSE) and National Association of Securities Dealers Automated Quotations (NASDAQ) are similar. These two trading centers make up for the bulk of trade that is connect to equities in the United States and European stock market. The two stock exchange centers concentrate in trading stock options, cash equities, fixed incomes and also exchange traded goods. In order to keep the market current, both exchanges use what is called traffic controllers. The traffic controllers of both exchanges deal with specific traffic problems and, in turn, make it possible for their markets to work. On the NASDAQ, the traffic controller is known as the market maker, who, we already mentioned, transacts with buyers and sellers to keep the flow of trading going. On the NYSE, the exchange traffic controller is known as the specialist, who is in charge of matching buyers and sellers together. A few of the similarities are that during trades, both exchanges use an electronic screen because of the fact they the screen based electronic stock exchanges. The Stock Exchange Commission synchronizes these two exchanges and joins in the activity of trading stock equities. As you can see, there are a number of similarities between the two exchanges however; there are also a number of differences between the two as well. One difference is that the NASDAQ is considered a high tech trading market because most of their components are electronics, technology and internet...
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...Running head: Business information breach - NASDAQ data breach Business information breach - NASDAQ data breach In 2011, NASDAQ Stock Market operations found "doubtful files" on its U.S. computer servers. There was no verification that the hackers entered or obtained customer information or that of parent corporation NASDAQ trading policies. The FBI along with exterior forensic associations helped carry out the investigation, despite the fact, NASDAQ OMX did not say when it was launched or when the apprehensive files were established. These files were recognized in a web application called Directors Desk. The search, which is ongoing with the help of securities supervisors, comes as investors are becoming progressively more anxious over the dependability and sanctuary of the rapid resource markets, which in North America and Europe are now more often than not online. NASDAQ Group, which runs equity and underlying assets, currency trade in the United States as well as European countries, did not give information on the hackers or on what they were up to. (Mathew J. Schwartz (2011) The breach under consideration relates to NASDAQ Directors Desk, a detailed communication system to assist board members. The company says the solution is used by over 10,000 directors around the world. It's almost impossible to establish where it comes from, however the powers that be are tracking it. The hackers were competent to set up malware that permitted them to spy on the activities...
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...Subject Comparative statics Topic Supply and Demand Equilibrium Key Words Stock market, technology companies, investors, wealth, mortgage payments, labor market, stock options, price, profit, companies, competitiveness, market, recruits News Story April has seen the stock markets tumble, particularly the NASDAQ, which includes a lot of technology companies. As a result, investors have seen their paper wealth diminish rapidly. The result is that people are delaying buying homes, or are nervous about being able to meet their mortgage payments on their newly-purchased expensive homes. In the labor market, workers are contemplating quitting Internet companies because the promise of stock options (where workers buy stock at a fixed price in the future, and sell it at reigning prices to make a profit) is less attractive. Also, investors are likely to put less money into dot.com companies. Consequently, companies are urging workers to focus on the underlying competitiveness of their firms and the long-term prospects for the companies, not on the short-run gyrations of the market. Some companies are also making recruits sign agreements limiting their ability to leave and work for a competitor, and only giving stock options that do not vest for a long time. (Updated May 1, 2000) Questions 1. Draw a supply and demand diagram of the market for homes. Mark the initial equilibrium. a) The rapid rise in the stock market affected consumer behavior. Which determinant of demand...
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...University November 17, 2013 IP 1 1. How are the NYSE and NASDAQ similar, if at all? In basic structure the NYSE and the NASDAQ are similar. They are both companies that can provide the service of trading stocks. Each company is open to the public and gains profits for their shareholders. NYSE and NASDAQ are both regulated by the Securities and Exchange Commission. Within each company the trading of stocks is done by traffic controllers, and these two companies account for a huge share of trading in the United States. With the use of these stock exchange facilities it allows public companies to raise capital. 2. How are the two exchanges different from one another, if at all? Both the NYSE and NASDAQ have differences from one another. The first major difference happens to be in their mission statements of the companies. The NYSE mission statement is as follows, “The mission of the NYSE is to add value to the capital-raising and asset management process by providing the highest-quality and most cost-effective self-regulated marketplace for the trading of financial instruments , promote confidence in and understanding of that process and serve as a forum for discussion of relevant national and international policy issues”. However the mission statement from NASDAQ is, “as the world’s largest exchange company, NASDAQ is driven to delivering multi-asset, multi-service capability across every major continent. NASDAQ provides forward thinking services and technology that have...
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...NYSE VS. NASDAQ By: Lavoy Freeman Financial Management Individual Project 1 Many people may make millions or lose everything they have by buying and selling stocks on exchange markets. The two most familiar exchanges are NYSE and NASDAQ. The New York Stock Exchange is a Euro-American national security exchange that operates multiple security exchanges. It maintains a leading position in global exchange products market. In 2011, NYSE-Euronext led the market in Exchange Traded Products with more than 450 new ETN listed. The market’s impressive growth has been a success from their rests of structuring nearly 85% of their leading venue for Exchange Traded Funds, Exchange Traded Notes, Exchange Traded Vehicles, and Warrant and Certificate trading. The product offering of the marketplace gives investors access of regulated listings as well as fast and innovative tools to quickly convert assets to cash. The trade of equities, futures, options, fixed-income and exchange-traded products comes from the company’s exchanges in Europe and the United States. NYSE Liffe is a derivative business operated by NYSE-Euronext, which offers comprehensive commercial technology along with connectivity, market data products and services. (NYSE-Euronext) NASADAQ is known as an American stock exchange market, which originally stands for National Association of Securities Dealers Automated Quotations. Other than NYSE, NASDAQ is the second-largest stock exchange by market capitalization...
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...NYSE – Euronext and the NASDAQ Name: Robert E. Smith American Intercontinental University FINA 310 – Financial Management Unit 1 Individual Project September 1, 2013 Abstract This report, providing information by study of financial management, makes a comparison of the New York Stock Exchange and the National Association of Securities Dealers Automated Quotations. We will provide a perspective difference between NYSE and NASDAQ by information used in making comparison. We will further describe the Public Company Accounting Protection Act of 2002, and provide a description of the law. Memo: To: Brokers Association From: American Intercontinental University Subject: NYSE and NASDAQ RE: Orientation Date: 08/31/2013 Introduction: In orientating our newest brokers, we provide a detailed introduction to the New York Stock Exchange and the National Association of Securities Dealers Automated Quotations, Identified best by most by abbreviation as NYSE, and NASDAQ, a report detailing the similarities of these two organizations and their differences. We further provide discussion of the “Public Company Accounting and Investor Protection Act of 2002 in describing this law as it was established and reason. Overview NYSE-Euronext and NASDAQ similarities: We begin by providing an overview of both exchange operators in making comparison determining what similarities there are in these operators of financial markets. First, the NYSE is stated to be a global operator...
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...York Stock Exchange and Nasdaq listing requirements for comparative purposes. First, I went to the New York Stock Exchange Web site and saw how many round-lot holders are required to be listed, what the required public shares outstanding are, what the earnings requirements to be listed are, and what the average global market capitalization requirement to be listed is. After that I went to the Nasdaq Web site and learned what pretax earnings are required, what minimum bid price is required, how many market makers are required, how many publicly held shares are required, and what “Market Value” of the publicly held shares is required. Listing Requirements The main function of the stock market is to enable trade in the shares of public companies, which in turn reflect the performance of the companies whose shares are traded in the stock market. Stock markets are also a vital part of an economy or the economic system of a country or nation. Research has shown that most economies around the world, today, are judged by the performance of their stock markets. To trade in the stock market, a company has to be transparent about its fundamentals such as revenue, income, assets, liabilities, etc. as it allows the investing public to make fair assessments of the company’s market worth. These stock markets each, have their own listing of requirements. The purpose of this paper is to discuss the stock listing requirements of the New York Stock Exchange and NASDAQ for comparative purposes...
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...Markets Running Head: Financial Institutions in the Stock Markets Financial Institutions in the Stock Markets: Market Capitalization, EPS Growth, and Investor Expectations Influence on Stock Prices Introduction Wild gyrations, extreme peaks and valleys, and fear and mania; this has been the epitome of the stock markets not just historically but over the last decade. Ten years ago, the NASDAQ was at an all time high exceeding 5,000 in March of 2000, the DOW was exceeding 11,000 and the general state of the economy was very favorable. Internet companies were being spawned by the hundreds and many of them turned once struggling entrepreneurs into instant millionaires. Internet IPO’s were the hottest thing since sliced bread and many thought there was no end to the rise of the new technology companies. Alas, right after the NASDAQ peaked in March 2000, a precipitous drop occurred and the markets plummeted. Just a year prior, the NASDAAQ returned nearly 90%, but one year later it plummeted 40% and continued dropping. The bear market of 2000-2002 erased all gains of the NASDAQ that to this day hasn’t even recovered half of its gains. The mood of investors and the American public quickly went from great to grim. The American and even global economy is strongly tied to the performance of our public companies. These public companies make up trillions of dollars in annual revenue. In fact, in the total market cap in 2008 of all publicly traded US companies was over $16...
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...(508) 533-4300 FOR IMMEDIATE RELEASE Cybex Reaches Settlement in Barnhard Product Liability Suit Medway, MA, February 6, 2012 -- Cybex International, Inc. (NASDAQ: CYBI), a leading manufacturer of premium exercise equipment, announced today that it has reached a settlement in the product liability litigation, Barnhard v. Cybex International, Inc. Pursuant to the settlement, Cybex will pay to the plaintiff, net of insurance, approximately $19,500,000, of which approximately $18,500,000 will be paid at the consummation of the settlement with the balance paid over seven years. As part of the settlement, Cybex will be released of all further liability with respect to the litigation, which will be dismissed with prejudice. Cybex will satisfy its cash obligation through available cash, its existing line of credit and additional financing, which it is in the process of arranging with its principal bank. The settlement is subject to standard closing conditions, including the execution of a definitive settlement agreement by Cybex, the plaintiff and the third party defendant. Cybex anticipates that all conditions will be satisfied and funds disbursed within the next 30 days. As previously reported, Cybex currently is subject to possible de-listing from the Nasdaq Stock Market due to its failure to comply with the Nasdaq requirements for a minimum stockholders’ equity of $10,000,000, a minimum bid price for its common stock of $1.00 per share and a minimum market value of publicly...
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