What is Share Trading and the Share Market?
Stocks or shares describe the units of or fractional ownership in a company. The price of company’s shares is concluded by the demand and supply of its shares in the market which is derived from its present or expected performance.
Several factors play a key role in influencing the price of a company’s shares, these include external economic factors, market events, company performance and earnings, and latest news and progress in regards to the company. Share trading is the process of buying and selling of these shares in order to make a profit from the price movements.
The stock market is where stocks are issued, bought, and sold. An efficient functioning stock market is a vital factor supporting economic development, companies would then be able to quickly gather capital when required.