Preview

Nasdaq vs. Nyse

Better Essays
Open Document
Open Document
1363 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Nasdaq vs. Nyse
The National Association of Securities Dealers Automated Quotations – once an electronic quotation for OTC stocks and expressed by its acronym, NASDAQ, the stock exchange known today as NASDAQ or the NASDAQ Stock Market operates as both a stock quotes service and a stock exchange permitting dealers to trade its listed securities. NASDAQ Stock Market is owned and operated by the National Association of Securities Dealers (NASD) (TodaysMoneyNews.com). Established in 1792, the New York Stock Exchange in the largest securities exchange in the United States. Securities are traded by brokers and dealers for customers on the trading floor at 11 Wall Street in New York City. The exchange is headed by a board of directors that includes a chairman and 20 representatives who represent both the public and the members of the exchange. This board approves applicants as new NYSE dealers, set policies for exchange, oversees the exchange, regulates member activities, and lists securities (TodaysMoneyNews.com). Taking these two definitions of each into consideration the similarities of both the NASDAQ and the NYSE are that they are both used for the listing of securities. Dealers are both able to sell and buy securities. Stock quotes are listed on both the NASDAQ and the NYSE. Both are available to the public mainly through dealers. The public can invest in both or either of the companies. There aren 't many similarities between the two companies.
The differences between the New York Stock Exchange and the NASDAQ are more noticeable than the similarities. The New York Stock Exchange (NYSE) provides the facilities for stock trading and rules under which trading takes place. Stock trading on the NYSE occurs auction-style. In each transaction, stock is sold to the highest bidder and bought for the lowest offer. The types of companies traded on the NYSE are the oldest, largest, and best-known companies.
Thousands of stocks are traded electronically – using computers


Cited: 1) Madhavan, A., Sofianos, G., 1998. An Empirical Analysis of NYSE Specialist Trading. Journal of Financial Economics, 48, 189-210. 2) MarthaStewart.com. 2004 http://www.marthastewart.com/page.jhtml?type=page-cat&id=cat18395 3) TodaysMoneyNews.com. 2004. Stock Market Quotes and News. http://www.todaysmoneynews.com/stock-market-quotes-news.html
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    Midterm Exam Part 1 Solutions
    • 1806 Words
    • 8 Pages

    Midterm Exam Part 1 Solutions

    Selected Answer: The NYSE operates as an auction market, whereas the Nasdaq is a dealer market.…

    • 1806 Words
    • 8 Pages
    Good Essays
    Read More
  • Good Essays

    Similarity between New York Stock Exchange (NYSE) and NASDAQ
    • 833 Words
    • 4 Pages

    Similarity between New York Stock Exchange (NYSE) and NASDAQ

    New York Stock Exchange (NYSE) and NASDAQ are similar in a number of ways. For instance, both of the two exchanges take part in equity exchange. Additionally, they also try to connect consumers with traders or supply with demand. In United States, a number of equity trades take place on the two exchanges. The duties of people managing the trades are considered to be the same in certain conditions. Both of the exchanges make use of electronic screens in their trading periods. NYSE and NASDAQ are considered to be similar because they both have a considerable percentage of America’s equities traffic. Apart from being the main exchange traders in America, both NYSE and NASDAQ are harmonized by the Stock Exchange Commission. The other similarity between the two exchanges is that they both have traffic controllers who are responsible for solving specific traffic problems. Consequently, this ensures that there is an efficient market for the customers. The two exchanges can also trade on themselves.…

    • 833 Words
    • 4 Pages
    Good Essays
    Read More
  • Good Essays

    Executive Summary Paper (Direct Tv)
    • 1228 Words
    • 5 Pages

    Executive Summary Paper (Direct Tv)

    The DirecTV Group was traded on the New York Stock Exchange until December 3, 2003. The owners decided it was time to move to the NASDAQ Global Select Market. Converting to the NASDAQ was based on the cost of trading. The cost of trading on the NYSE was higher. The ticker symbol for DirecTV on the NASDAQ is DTV.…

    • 1228 Words
    • 5 Pages
    Good Essays
    Read More
  • Good Essays

    Fin370/Fin 370/Fin/370 Final Mcq's - Got 100% (Week 5)
    • 1273 Words
    • 6 Pages

    Fin370/Fin 370/Fin/370 Final Mcq's - Got 100% (Week 5)

    10. The foreign exchange market is like the New York Stock Exchange because they are both physical entities.…

    • 1273 Words
    • 6 Pages
    Good Essays
    Read More
  • Better Essays

    Fin 370 Defining Financial Terms
    • 895 Words
    • 4 Pages

    Fin 370 Defining Financial Terms

    * This is where investors trade their securities. Companies do not receive any additional money in these transactions it is the profit or loss of the investor.…

    • 895 Words
    • 4 Pages
    Better Essays
    Read More
  • Satisfactory Essays

    Finance Midterm
    • 1225 Words
    • 5 Pages

    Finance Midterm

    The New York Stock Exchange is an auction market, and it has a physical location.…

    • 1225 Words
    • 5 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    Kroger Company Stock
    • 438 Words
    • 2 Pages

    Kroger Company Stock

    The five companies that I chose to do my stock quotes on are: AT&T Inc., Gold Fields Limited, Kroger Co., which are on the New York Stock Exchange, Sirius Satellite Radio Inc. and Yahoo Inc. which are on the NASDAQ.…

    • 438 Words
    • 2 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    Similarities & Difference Between Nasdaq & Nyse
    • 545 Words
    • 3 Pages

    Similarities & Difference Between Nasdaq & Nyse

    The NYSE and the NASDAQ have the following similarities – The NASDAQ and NYSE equally use and are screen based electronic stock exchanges which means they utilize electronic screens during trading. Both of these exchanges consist of the majority of the equities traffic in the United States. as well as the major exchange traders in the United States. These two exchanges are also synchronized by the Stock Exchange Commission. The NASDAQ and the NYSE partake in the trading of stock equities as well as help to meet the buyer and supplier.…

    • 545 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Satisfactory Essays

    Trading Procedures in Financial Markets
    • 505 Words
    • 3 Pages

    Trading Procedures in Financial Markets

    A secondary market can be either a physical location exchange or a computer/ telephone network. For example, the New York Stock Exchange, the American Stock Exchange (AMEX), the Chicago Board of Trade (the CBOT trades futures and options), and the Tokyo Stock Exchange are all physical location exchanges. In other words, the traders actually meet and trade in a specific part of a specific building. In contrast, Nasdaq, which trades a number of U.S. stocks, is a network of linked computers. Other network examples are the markets for U.S. Treasury bonds and foreign exchange, which are conducted via telephone and/or computer networks. In these electronic markets, the traders never see one another except maybe for cocktails after work. By their very nature, networks are less transparent than physical location exchanges. For example, credit default swaps are traded directly between buyers and sellers, and there is no easy mechanism for recording, aggregating, and reporting the transactions or the net positions of the buyers and sellers.…

    • 505 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Stock Exchange
    • 1374 Words
    • 6 Pages

    Stock Exchange

    A stock exchange is the market place for the purchase and sale of second hand securities. It provides "trading" facilities for stock brokers and traders, to trade shares of the listed companies and other financial instruments such as Term Finance Certificates and Derivatives. Stock exchanges also provide facilities for the issue (listing), redemption (delisting) of securities and other capital events including the payment of income and dividends. It is a key institution for smooth functioning and steady growth of the corporate sector and can be seen as a key to the economic life of a nation. Stock exchange is the home of the capital and pivot of the money market, providing proper mobility for capital. The securities of joint-stock companies, government securities and securities issued by semi-government organization are dealt with on a stock exchange.…

    • 1374 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Stock Exchange
    • 450 Words
    • 2 Pages

    Stock Exchange

    Stock exchange provides safety, security and equity (justice) in dealings as transactions are conducted as per well defined rules and regulations. The managing body of the exchange keeps control on the members. Fraudulent practices are also checked effectively. Due to various rules and regulations, stock exchange functions as the custodian of funds of genuine investors.…

    • 450 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Better Essays

    Stock Exchanges Funtion and Purpose
    • 1445 Words
    • 6 Pages

    Stock Exchanges Funtion and Purpose

    One of the main purposes of the stock exchange is to provide a platform for the new born companies and existing ones to raise money through the issuing of shares, this takes place in the primary market. The primary exists because of the symbiotic relationship it shares with the secondary market. The liquidity of exchange is very attractive for investors to buy and sell securities at any given time.…

    • 1445 Words
    • 6 Pages
    Better Essays
    Read More
  • Powerful Essays

    Stock Exchange
    • 2340 Words
    • 10 Pages

    Stock Exchange

    The stocks are listed and traded on stock exchanges which are entities of a corporation or mutual organization specialized in the business of bringing buyers and sellers of the organizations to a listing of stocks and securities together. The largest stock market in the United States, by market capitalization, is the New York Stock Exchange (NYSE). In Canada, the largest stock market is the Toronto Stock Exchange. Major European examples of stock exchanges include the Amsterdam Stock Exchange, London Stock Exchange, Paris Bourse, and the Deutsche Börse (Frankfurt Stock Exchange). In Africa, examples include Nigerian Stock Exchange, JSE Limited, etc. Asian examples include the Singapore Exchange, the Tokyo Stock Exchange, the Hong Kong Stock Exchange, the Shanghai Stock Exchange, and the Bombay Stock Exchange. In Latin America, there are such exchanges as the BM&F Bovespa and the BMV.…

    • 2340 Words
    • 10 Pages
    Powerful Essays
    Read More
  • Good Essays

    research paper
    • 2442 Words
    • 10 Pages

    research paper

    (f) ‘exchange’ means any stock exchange which has been granted recognition under section 4 of the Securities Contracts (Regulation) Act, 1956;…

    • 2442 Words
    • 10 Pages
    Good Essays
    Read More
  • Good Essays

    Listing Securities
    • 767 Words
    • 4 Pages

    Listing Securities

    capital of Rs. 3 crores and the minimum public offer must be of Rs. 75…

    • 767 Words
    • 4 Pages
    Good Essays
    Read More

Related Topics