Stock Exchange
A place, whether physical or electronic, where
stocks,
bonds, and/or
derivatives in
listed companies are bought and sold. A stock exchange may be a private company, a
non-profit, or a
publicly-traded company (some exchanges have
shares that
trade on their own
floors). A stock exchange provides a regulated place where
brokers and companies may meet in order to make
investments on neutral ground. The concept traces its roots back to medieval France and the Low Countries, where agricultural goods were traded for
cash or
debt. Most countries have a main exchange and many also have smaller,
regional exchanges. A stock exchange is also called a bourse or simply an exchange.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
exchange
exchange
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
Exchange.
Traditionally, an exchange has been a physical location for trading securities. Trading is handled, at least in part, by an open outcry or dual auction system.
Two examples in the United States are the New York Stock Exchange (NYSE), which has the largest trading floor in the world, and the Chicago Board Options Exchange (CBOE).
However, the definition is evolving. Traditional exchanges handle an increasing number of trades electronically, off the floor. Nasdaq and other totally electronic securities markets, without trading floors, have exchange status.
As a result, the terms exchange and market are being used interchangeably to mean any environment in which listed products are traded.
The term exchange also refers to the act of moving assets from one fund to another in the same fund family or from one variable annuity subaccount to another offered through the same contract.
exchange
see MARKET, BARTER.Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson
exchange
- 1the transfer of the right to own or use goods and services. Exchange is necessary in specialized economies (see SPECIALIZATION). In simpler specialized economies, exchange can take the form of BARTER. In more complex specialized economies exchange is undertaken through MARKETS, where the right to own or use goods and services is bought and sold. See TRANSACTION.
- the means of financing the purchase of goods and services in a market. See MONEY, FOREIGN EXCHANGE.
Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005
exchange
Parties may exchange like-kind properties and not pay any income taxes at the time of the exchange but, instead, defer them until the later sale of the exchanged property. See 1031 exchange.
The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
Exchange
A transfer of property for other property or services. Some exchanges produce currently taxable income while others can be structured so as to defer any tax liability.
Copyright © 2008 H&R Block. All Rights Reserved. Reproduced with permission from H&R Block Glossary