Management and Organizational Studies 2277A/B Chapter Notes - Chapter 11: Nyse Euronext, Discount Brokerage, Demutualization
31 Mar 2018
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Facilities that allow investors to purchase or sell existing stocks. Venture capital - refers to investors" funds destined for risky, generally new businesses with tremendous growth potential. Market makers - securities dealers who are required to trade actively in the market so that liquidity is maintained when natural market forces cannot provide sufficient liquidity. Rapid consolidation in global capital markets fuelled by demutualization. Demutualization - the transformation of a firm from a member-owned organization to a publicly owned for-profit organization. An electronic communications network that allows investors to buy or sell securities. Trades made here are communicated through network by market makers who earn a profit on each trade. Less regulations and more driven by supply & demand. Auction market vs. one on one business transactions. Provide information about the price of each stock over the previous day or recent period. Discount brokerage firm - executes transactions but does not offer investment advice.
