Question

Tell me three stock market participants AND explain each of them in detail.

Tell me three stock market participants AND explain each of them in detail.

Homework Answers

Answer #1

Three participants of stock market are
1. SEC(Securities and Exchange Commission): It is a federal agency whose objective to create laws for smooth functioning of securities market. It protects the investors and regulates the securities market. Its main objectives are smooth capital formation, shareholder protection and creating efficient market.

2. Stock broker: They help in facilitating transaction of securities between buyer and seller by taking commission or brokerage fees, They are part of brokerage firm who handle transactions of customers.

3. Shareholder: The individual investor, company or institution which buys or sells the securities. They receive the dividend payment and enjoy the benefits of capital gains in stocks.

Best of Luck. God Bless

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