A Stock Exchange provides services for stock brokers and traders to trade stocks, bonds, and other securities. It is a forum where buyers and sellers transact business for marketable securities.

Most of us conscious to have latest information about stock market. Why do we need the issuing of the shares for a company?

Let us take an example that you are running a jewelry shop in a metropolitan city. You want to expand your business in other cities after running the business successfully for 10 years. To fulfill your dream you have to need 100 thousand dollars. But you don’t possess that much capital. So for this purpose you have to either borrow the required money from lenders or convince your known ones to join as partners. In this way you have got an opportunity to run your business or organization. You can invite 1000 people to invest 100 dollars per person instead of convincing 10 people to invest 10 thousand dollars per person.In this case, risk involved for the entrepreneur will be very low.

Stock exchanges have been formed to solve this problem. Did stock exchanges come in to being recently? Definitely NO.In the city of Cairoin the 11^th century, Yuthas and Mughals were involved in the buying-selling trade and this is the Rishi Moolah for all the stock exchanges of the world. The first stock exchange of the world was “Amsterdam was the first Stock Exchange” formed in the year of 1602 by the Dutch East India Company. This concept got popular to all the countries gradually and stock exchanges were formed throughout the world by the Traders organization.

On various factors we can rank of stock exchanges such as market capitalization number of companies listed in the market, and turn over at the end of year. Here I have used market capitalization factor and listed the top 10 stock exchanges in the world.

Rank	Stock Exchange	Country
1	New York	USA
2	NASDAQ	North America
3	KSE	Pakistan
4	Tokyo	Japan
5	Hong Kong	China
6	Shanghai	China
7	DFM	Dubai
8	Toronto	Canada
9	London	UK
10	Mumbai	India

 

1.New York Stock Exchange

It was established in the year of 1792 located in New York. In NYSE the physical buying and selling of stocks are available. It also offers many kinds of financial products and services like cash equities, futures, options, exchange trade products, bonds, market data, and commercial technology solutions. As many electronic transactions are happening so this is the world’s largest stock exchange. Large, medium and small cap companies are listed in the New York stock exchange. It was merged with American Stock Exchange in the year of 2008. Due to its enormity New York Stock exchange is subject to incessant terror threats.

2.NASDAQ Stock Market

In 1971 this stock exchange was comprised in the year of 1971. In North America this is the second largest stock exchange. NASDAQ stands for National Association of Securities Dealers Automated Quotations. NASDAQ OMX group is the maintainer of this stock exchange. In eight other different European countries they also maintain the same stock exchange. This is headquartered at New York. The functions timing of market is between 9.30 am to 4.00pm. They would function between 7 am and 8 pm including the pre market and post market sessions.

3.KSE 100 Index (Pakistan)

The 3^rd best performing stock market in the world is the Karachi Stock Exchange 100 Index. It become more its place among the famous stock exchanges after adjusting for fluctuations against the US dollar. From each of the 34 sectors the KSE-100 index comprises the top company, while the remaining 66 companies are chosen on the basis of their market capitalization.

Oil & Gas Development Co. Ltd. (OGDC:PK) with an index weight of 10.52%, MCB Bank Ltd. (MCB:PK) with an index weight of 8.68%, and Pakistan Petroleum Ltd. (PPL:PK) with an index weight of 6.03% are the top three companies in the index by their weight age are.

Murree Brewery Co. Ltd. (MUREB:PK), Pakistan Tobacco Co. Ltd. (PAKT:PK), and Feroze 1888 Mills Ltd (FML:PK). Their respective share prices have increased more than 141%, 121%, and 110% are the top three performers in the KSE-100 index in 2014.

4.Tokyo Stock Market

All over the world TSE is the third largest stock exchange and among the Asian countries it is first largest stock exchange. In 1878 it was formed. Now in Tokyo Stock Exchange more than 2,000 companies are listed. It was severely affected by bugs and shut down completely for four and half hours when it was introduced with new methods of transaction in the year of 2005. Actually this was the worst interruption in trading this stock exchange which this stock exchange had to face. the functions timing of market is between 9.00 am and 3.00 pm.

5. Hong Kong Stock Market

In terms of market capitalization this stock exchange stood at 6^th position during the year of 2011. But now it has got 5th position. Unlike Shanghai Stock Exchange there are no strict controls on outside investors. In this exchange there are nearly 1,470 companies listed . In China this known as the largest stock exchange. Initially in 1891 it was named Association of Brokers, Hong Kong but later it was renamed as Hong Kong stock exchange in 1914. This Stock Exchange functions between 9.15 am and 4.00 pm.

6.Shanghai Stock Exchange

In the Asian continent this is the third largest stock exchange and in the People Republic of China it is known as the second largest. It was formed in1990. China Securities Regulatory Commission is strict about the foreign investors and these organizations are not entirely open to them. 2,547 Billion dollars is the market capitalization of SSE and the market functions between 9.30 am and 3.00 pm.

7. DFM General Index (Dubai)

In the first few months of 2014 the Dubai Financial Market General Index (DFMGI) has shown the best performance. Emaar Properties PJSC (EMAAR:DB), with an index weightage of 21.51%, Dubai Islamic Bank PJSC (DIB:DB), with an index weightage of 15.26%, and Arabtec Holding Co (ARTC:DB), with a weight-age of 9.63% are the three stocks with the most weightage are. The stocks increased 42%, 35%, and 204% YTD, respectively.

The best performing stock in the Dubai Financial Market is Arabtec Holding, a full service construction company. Union Properties PJSC (UPP:DB), which increased by more than 94%, and Gulf General Investment Co (GGICO:DB), are some other top performers, which increased more than 81% in 2014.

After Dubai won the competition to host the World Expo 2020 Real Estate and Construction related businesses have witnessed strong growth. In the Middle East, North Africa, and South Asia region Dubai is the first country to host the World Expo.

8.Toronto Stock Market

The maintainer of TMX group of Canada. It is located at Toronto, Canada. This is one of the largest stock exchanges in the world. This is the third largest stock exchange in North America. Various companies in Europe, Canada and United States are listed in this stock exchange. They are the leader in the mining and oil sector. The first stock exchange of Canada was formed in the year of 1852 by the Association of the Brokers of that country and later on they grew into the seventh largest stock exchange in the world. Presently 2,058 Billion dollars serves as the market capitalization of this stock exchange and the operational timings are between 9.30 am and 4.00 pm.

9.London Stock Market

This is the oldest stock exchange in the world which was established in the year of 1801. This is the real international market in which nearly 3,000 companies from 70 different countries are listed. Among the European countries, this stock exchange has the highest market capital value. It is located near Paternoster square. The first stock exchange of United Kingdom could be traced to the early 16^th century. Stock exchange went through numerous changes and recently in the year of 2011, it was announced publicly that London Stock Exchange had merged with TMX group. Currently the market capitalization of London Stock Exchange is 3396 Billion dollars and trading occurs between 8.00 am to 4.30 pm.

9.Mumbai Stock Market

This is one of the oldest stock exchanges in the world. It was formed in the year of 1850. Till 1874, the trading took place under the banyan tree on Mahatma Gandhi road, Mumbai. Then it was shifted to the Dalal Street (Broker’s street). This stock exchange has the largest number of companies listed all over the world. More than 4900 companies are listed in the Bombay Stock Exchange. Till 2002, it was known as The Stock Exchange, Bombay. Then it was renamed as BSE. Apart from BSE, other important stock exchange of India is National Stock Exchange which was formed in the year of 1994. Recently BSE is published as a company in the stock exchange. Currently the market capitalization of BSE is 1,263 Billion dollars and the market operates between 9.15 am and 3.30 pm.

Here according to my information i presented top ten trading stock exchanges of the world. I hope you will appreciate my effort so that in coming days i may bring some thing latest and new for you. If you also have any current information about any topic or research, you may share with us. We assure you that we shall publish it for your encouragement and happiness.

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