World religions in the modern world. Religious religions and their role in the modern world

50. The securities market: concept, structure, types.

RZB- this is that part of the financial markets, formed from economic relations regarding the issue and circulation of the Central Bank, i.e. it is a set of economic institutions, instruments and mechanisms used to attract and redistribute fin. resources in society.

The structure of the securities market represent three main components:

– trade item(i.e. securities and their derivatives);

– professional participants; Issuers- an organization that has issued (issued) securities for the development and financing of its activities (enterprises of various forms of ownership, industries and types of activities, authorities at various levels). Investors- persons who have temporarily free funds, striving for their profitable placement and investing them in the Central Bank (legal l., F.l., authorities). Intermediaries professional participants of the securities market act, they are engaged in the placement of securities of issuers in the primary market - underwriting and operations with securities in the secondary market.

– market regulation system; Infrastructure Is a set of economic institutions, instruments and mechanisms that serve the functioning of the securities market. It includes institutions involved in settlement and clearing activities, storage of securities certificates, maintaining a register of securities owners, etc.

Types of RCB. 1.By the time of circulation of the Central Bank: money market- The Central Bank circulates with a maturity of less than 1 year (instruments: treasury bills, deposit certificates); stock- a set of mechanisms and actions aimed at trading in securities (stocks, bonds) 2. Depending on the moment the Central Bank appears on the market and the main participants: primary- the Central Bank first appears on the securities market, the market for new issues, participants - issuers and investors; secondary- the market on which previously issued securities circulate and includes all transactions with securities after their issue, participants - investors and intermediaries, but also issuers. 3. By the level of organization: organized by the RZB- making transactions according to strictly established rules, participants are only professionals and there is a trade organizer (exchange). unorganized RCB- both professionals and non-professionals are participants, the rules are less stringent. 4. By the way of organization: exchange- this is a part of the organized market, in which the trade organizer is prof. RCB participant - stock exchange; over-the-counter or street- it is part of the organized and all unorganized; electronic trading of the central bank- covers the exchange and over-the-counter market and involves trading through an electronic network. 5. By territorial coverage: regional RCB- issuers, investors, intermediaries of a certain region; National- the market of a specific country; world- a system of interconnected and interdependent markets on a worldwide scale. 6. By the level of development of the RCB: developed- the level of development of the stock market; emerging securities market- stock markets are in the making.

51. Security: concept, types, investment qualities.

In securities is a document certifying, in compliance with the established form and mandatory details, property rights, the exercise or transfer of which is possible only upon its presentation. Economic properties of the Central Bank: negotiability or marketability- the ability of the Central Bank to sell, the degree of its convertibility into cash, the ability of the Central Bank to buy and sell; Central Bank liquidity- the ability of the Central Bank to quickly and without losses and with minimal transaction costs turn into cash; Central Bank yield- the ability of the Central Bank to generate income for its owner (not only in cash, but also benefits and advantages); reliability- the degree of security of investments in the Central Bank, reflects the stability of changes in the Central Bank to changes in market conditions. Types of securities: 1.by issuers:state central banks- the issuer is the authorities of the federal level and the subjects of the federation; municipal central banks- local government bodies; corporate securities- y.l .; private- F.L. (bill ). 2.by investors: Central banks intended only for legal entities... - as a rule, high par value, exist in non-documentary form, transactions with them are carried out by non-cash settlements; Securities intended only for f.l... - relatively low par value, in documentary form, settlements in cash. and non-cash. Forms; Central Bank, intended for both legal entities. and for F.L.. 3. by the terms of circulation (existence): urgent securities- issued for a certain period, which is negotiated during the issue (short-term - up to 1 year, medium-term - 1-3 (5) years, long-term - over 3 (5) years); indefinite (non-extinguishing Central Bank)- do not have a certain period of existence during the issue, and exist as long as the issuer (shares) exists. 4. in terms of the volume and quality of the rights granted: debt securities- creditor relations are the cornerstone and are characterized by 3 basic principles: repayment, urgency, payment (bonds, bills); equity shares of the Central Bank- reflect the right to a share in something: in management, in the income received by the issuer, the right to a share in the property of the issuer (shares, investment shares, privatization checks). 5. by the form of existence: documentary (blank) securities- details are recorded on certain paper media. uncertified (blank)- Central Banks appeared with computer technology, all details are stored in the form of entries in the register of central bank owners. 6.In the order of securing ownership of the securities: registered- the owner is indicated either on the letterhead of the Central Bank or in the register of owners of the Central Bank. bearer- the owner is not specified, the rights belong to the one who presents the securities and the transfer of the securities is carried out by handing over the securities. (privatization checks). order securities- the Central Bank of the rights for which belongs to a person named in the Central Bank, who can exercise these rights himself, or transfer by his order to another person (using the endorsement transfer inscription) (bill of exchange, check). 7. by nationality: national (pat.)- issuers and investors are residents of the same state; foreign (foreign)- issuers and investors are residents of different states; euro paper- the Central Bank, the denomination of which is a foreign currency, both for issuers and for investors, i.e. These are securities issued by an issuer of one country with a denomination in the currency of another country and circulating in the territory of 3 countries. 8. for the accrual of income for the Central Bank:profitable securities- give the owner a direct financial income in the form of%, dividends, discount. unprofitable- do not give a direct financial result, but give investors additional rights and (or) privileges. 9. according to the degree of risk:risk-free securities- state federal central banks (but in Russia 1998) ; low-risk- sub-federal and municipal central banks, corporate central banks, blue chips ; risky securities- corporate and private securities. 10.by the form of issuance of securities into circulation:emission securities- these are papers that must simultaneously be characterized by a trace. signs: assign a certain set of rights to the Central Bank; placed in issues (mass); within the framework of one issue, the rights are equal, registration of the Central Bank in the form of registration of their prospectus is required. (In the Russian Federation, these are stocks, bonds, the issuer's option) ; non-emission securities- do not meet the above criteria, all other securities belong to them. Under equal conditions, the market value of emis.tsb will be higher than that of non-em, since they are more reliable. 11.by type of use:investment- Central banks are an object for long-term capital investment ; non-investment- are used to generate speculative income and to service payments for goods. 12. by the nature of the appeal to rtsb market securities- can be traded on the market without any restrictions; non-market securities- have only the first and only investor and do not freely circulate on the market; Central Bank with limited possibilities of circulation- there may be restrictions on investors (legal, private, residents, non-residents), on the territory, on the timing, on the freedom of placement. 13. by the nature of the securities placement on the market:freely placed- when the investor makes the decision on the acquisition of the securities ; forced placement- the investor is forced to acquire the Central Bank.

The main goals of investing in securities. Diversification of investments. Balanced portfolio of securities.

Securities are monetary documents that certify the ownership or loan relationship of the owner of the document in relation to the person who issued such a document (the issuer). Securities can exist in the form of stand-alone documents or account entries.

Securities are one of the main types of private investments, whose purpose- distribution of savings aimed at increasing, accumulating funds. Any investor, investing money, pursues 4 goals:

1.security of investments; 2. return on investment; 3. investment growth; 4. liquidity of investments.

Investment security - save Invest., Ensuring their independence from fluctuations in financial market conditions. markets. The most basic safety criterion is income stability.

Profitability - the ability of investments to bring additional income, which may be current, i.e. regular. or one-time - speculative. Central banks of large JSCs are profitable, since they have access to a wide variety of sources of finance, have large reserves, and therefore can therefore use a part of their profits to pay dividends. But, although the income for these A is large, and they are, accordingly, expensive. Doh-ty is defined as the relation of doh to the costs of purchasing central bank.

Investment growth - increase in the rate of the th article of the Central Bank. Only holders A can increase investments in their pure form. There is a whole class of securities, cat. are called "Central Bank of Growth". These are, as a matter of fact, ordinary A of young fast-growing companies operating in advanced industries. Those. such A, such as others, bring a low (or zero) level of dividends, but their rate is growing rapidly. This is because they, like others, reinvest most of their profits.

Liquidity (market) investments- the ability to quickly and harmlessly for the holder to convert securities into money. A liquid market has three characteristics:

a) frequent transactions; b) a narrow gap between the seller's price and the buyer's price. Seller's price - the lowest price at which the seller is willing to sell a given securities. Buyer's price - the highest price that a buyer is willing to pay for a given securities. The difference between the buyer's and the seller's price spread . The smaller the spread, the faster the seller and the buyer will make a deal; c) small price fluctuations from deal to deal. Transactions can be concluded in different time, in different places, but the price fluctuation is small.

Investing in securities opens up the greatest opportunities for investors and is distinguished by the maximum variety. This applies to both the types of transactions carried out in transactions with securities and the types of securities themselves. All over the world, this type of investment is considered the most affordable.

Investing in securities can be individual and collective. When investing individually, government or corporate securities are purchased during the initial placement or on the secondary market, on the exchange or over the counter market. Collective investment is characterized by the acquisition of units or shares of investment companies or funds.

Diversification of Investments- the distribution of the investor's capital between various securities. In world practice, it is customary to limit investments in each type of securities to 10 percent of the total value of the portfolio. Diversification of investments is distinguished: by type of securities, by industry, by region and country, by maturity (for bonds). Diversification of investments is their distribution in various areas and instruments, which can significantly reduce risks and increase profits.

The main goal of diversification is to reduce the potential risks associated with the loss of funds. That is, in this case, investments are less susceptible to various failures in the markets.

What does it take to Diversify?

1. Limit investments in this type of securities to 5-10% of the total portfolio value.

2. It is necessary to include in the portfolio bonds, preferred and ordinary A. This is called diversification according to the type of the Central Bank.

3. It is necessary to include in the portfolio the Central Banks, diversified by sectors of the economy, regions and countries.

4. It is necessary to purchase bonds that are diversified in terms of maturity.

Balanced portfolio of securities- a set, a set of securities, in which, according to the investor acquiring them, profitability, liquidity, and reliability are rationally combined.

A balanced portfolio includes securities with different maturities, potential profitability and the level of riskiness of investments. Such a portfolio is usually a combination of securities with a rapidly changing market value with financial instruments that generate moderate stable income. The investor determines the ratio between them independently, based on his attitude to risk.

Balanced portfolios imply a balance not only of income, but also of risk, cat. accompanies operations with the central bank. Balanced portfolios proportions consist of central b, rapidly growing in the exchange rate, and of highly profitable central b. A portfolio is a set of fin. assets, cat. at the disposal of the investor. Ch. the goal of portfolio formation is to strive to obtain the required level of expected return at a lower level of expected risk. This goal is achieved, firstly, through portfolio diversification, i.e. distribution of the investor's average / y diff. assets, and, secondly, careful selection of fin. tools.

A balanced portfolio of securities is such a combination of financial insrum-in, which corresponds to the idea of ​​this investor about the optimal combination of investment characteristics of the securities (reliability, profitability, investment growth, liquidity). This means that each investor will have their own balanced investment portfolio.

What is the Stock Market

The stock market is a set of relations, forms, methods and instruments associated with the issue and circulation of securities: stocks, bonds, etc.

The essence of the stock market is revealed in different ways. Some consider it a place for speculation. Others think that this is a scam or some kind of virtual reality. Still others are sure that money is made here out of thin air. Especially often such statements can be heard when discussing derivatives such as futures, options.

However, the role of the stock market for the country's economy is so great that it is difficult to imagine a developed state without a securities market. Thanks to him, there is a redistribution of funds between individual companies, industries. Each of us can become a participant in the stock market. The depositor, having invested money in a deposit, launches the mechanism for the bank to invest funds. For example, buying corporate bonds. In this case, the depositor is a passive investor in the securities market, and the bank is an active one. However, anyone can become an active participant. To do this, you need to conclude a deal with a market intermediary, for example, a broker. This can provide income higher than the percentage of the deposit.

How it all began

The history of securities trading goes back about five centuries. The first stock markets were bills of exchange, and the first securities were bills (a written commitment to pay a certain amount of money at a certain time to a clearly specified person). They were especially popular in the Middle Ages in Italy.

The formation of securities turnover and its organization into market relations occurred due to:

• regular issuance of debt obligations by states to cover their own budget deficits;
• the scale of the issue - traders and merchants actively used debt obligations as a means of payment.

The first exchanges on which transactions with securities were carried out appeared in the 16th century. Antwerp and Lyon.

At the end of the XVI century. the stock market has entered a new stage of development. Joint stock companies with their securities (shares) gave it a new life. The first joint stock companies are the Moscow, Levant, Baltic and East India companies. Their shares have become a popular sale and purchase target both in England and Holland.

The oldest stock exchange is the Amsterdam one. It was founded in 1611 and is successfully operating today. Until 1913, this exchange was universal, it traded both commodities and securities at the same time. At that time, transactions in goods and securities were concluded in the same way. Any visitor could participate in the first exchange operations, and the transaction ended with a handshake, which was part of the trading rules. Over time, trading in stocks and bonds received its own characteristics and specific instruments.

The formation and development of the stock markets of the USA and Great Britain took place under the influence of the peculiarities of the socio-economic development of these countries. The high role of exchange trading in the Anglo-Saxon countries continues to this day.

Stock market participants

Stock market participants are divided into basic and professional. The diagram shows a brief description of each of them.

The main participants are divided into:

• issuers;
• investors;
• speculators.

Issuers- these are stock market participants who raise funds by issuing (issuing) and placing securities among investors.

Investors- participants who invest in securities for various investment purposes. Investors are focused mainly on the long term, on a reasonable and regular income over a long period of time. Getting less, but not risking, is more acceptable for investors than fast money with a lot of risk. Based on the motivation for trading securities, investors are divided into:

• portfolio investors,
• strategic investors.

Portfolio investors buy securities to make money on them, i.e. receive income in the form of dividends, interest or growth in stock prices.

Strategic investors operate in the stock market with the aim of controlling and managing a company. The more shares of a company are concentrated in the hands of a strategic investor, the more the investor can influence the development of the company.

Speculators(traders) are participants in the stock market who receive income from the difference in the price of securities. Basically, traders are guided by income from short-term price changes. For a speculator, the high risk of a transaction with a high income is considered justified.

A separate group of stock market participants is created by professional participants - intermediaries. Their main task is to buy and sell securities or invest money at the request of a client.

Mediators- these are broker and dealer companies, depositories, clearing organizations, registrars, trustees, trade organizers.

Brokerage company is an intermediary who acts on behalf and at the expense of the client on the basis of a commission agreement or order. That is, the broker performs intermediary functions. Both legal entities and individuals registered as an entrepreneur can act as a broker. The broker receives a commission for the services rendered. His responsibilities include the execution of orders given by the client.

Dealer Is a legal entity that purchases and sells securities at its own expense and on its own behalf based on market quotes. As a rule, dealers are investment companies, funds, banks. In most cases, such organizations combine the functions of a broker and a dealer. The dealer's income is formed on the difference in the purchase or sale rates of securities.

Depositaries- these are organizations that provide services for the storage of securities, their accounting and the transfer of rights to them. Only a legal entity can be a depositary.

Clearing Organizations are the most important element of the infrastructure of the exchange market. Their responsibilities include offsetting the mutual obligations of the buyer and seller for settlements and deliveries for securities. They collect, correct and reconcile all information on trade transactions and prepare accounting documents. In addition, this organization forms special funds aimed at eliminating the risk of non-execution of trade transactions. Large companies often combine custody and clearing services.

Trustees- securities are transferred by the trustee for a specified period and for a fee. The manager sells or buys securities at his own discretion and on his own behalf.

Who to be in the stock market?

Before trading securities, you need to clearly determine who to be - an investor or a trader. These participants have opposite goals and methods of bidding.

An investor buys stocks with the expectation of an increase in their value in the long term. Those. plans to sell the purchased shares after a long period of time. The trader's behavior model is fundamentally different. It catches short to medium term fluctuations in stock prices. Moreover, he earns not only on the rise in the value of securities, but also on the fall. To make a profit, it is only important for a trader to correctly predict further price changes in the short or medium term.

If the investor holds the purchased shares for several months, and sometimes years, then the trader can sell the purchased shares on the day of purchase.

The choice of your own role in the securities market depends on the nature of the future investor or trader. Fast reaction and the ability to clearly analyze market conditions - these are the traits of a trader. An analytical mind, patience and the ability to think strategically are the qualities of an investor. It is believed all over the world that long-term investing in stocks is one of the most reliable forms of investing money.

However, people often want to actively trade in stocks, that is, to be traders. They like to calculate profitable moves, make deals, live in the same rhythm with the world's leading financiers, study daily, use indicators and other tools that determine short-term market trends.

The life of a trader beckons with fast and big earnings. It is believed that traders drive the market and are able to earn more than passive investors. However, practice shows that most of them lose their money on unforeseen fluctuations. This is the main reason for the myths about the stock market - the "golden dream" of quick returns with minimal effort.

When entering the stock market, each participant must assess the degree of their own risk. It is a myth that analysts know better about the market and should be listened to. It is also a mistake to believe that there are special technologies for making money in exchange trading. You need a clear strategy and understanding of your own goals. Nobody can provide guarantees of stability in securities trading. If the market is in a growth phase, then buying shares will allow you to get 10% per annum with an expected return of 20%.

Stock market classification

The stock market is divided into primary and secondary. On the primary market, securities are issued and placed among investors. Investors can be both individuals and companies. The scheme of the functioning of the primary stock market is presented below.

In the secondary stock market, securities are bought and sold. Basically, speculative transactions prevail here - to buy securities at a cheaper price and sell them at a higher price. Income from operations performed is generated from the exchange rate difference in the value of securities on the market. The scheme of the secondary stock market functioning is presented below.

Depending on the presence / absence of the organization of the trading process, an organized (exchange) and unorganized (over-the-counter) secondary market are distinguished.

On the exchange market, securities are traded on the basis of a single, specially developed set of laws, rules and trading standards within specific trading platforms between various professional licensed participants. The main institution of organized circulation are exchanges.

In the over-the-counter market, participants buy and sell securities without following uniform rules. That is, this is a market where there are no requirements, and trade occurs arbitrarily through the private contacts of the buyer and the seller. Transactions are concluded on the basis of mutual consent, without signing a standard agreement.

Stock Exchange is an organization that creates conditions for the normal circulation of securities, determining their market prices and disseminating information about them.

In total, there are about 200 stock exchanges in the world. The most widespread stock exchanges are in the United States. Here are the biggest ones.

Each of these exchanges operates according to its own schedule. The opening of the American stock exchange NYSE in Moscow takes place at 17:30. Trading closes at 00:00. In the same time period, you can trade on the American stock exchanges NASDAQ and AMEX. The Chicago Mercantile Exchange (CME) is open from 18:00 to 02:00. The advantages of trading on American stock exchanges are high liquidity, a high degree of market reliability and a wide range of financial instruments.

Stock market indices

Stock market indices are used to qualitatively assess the state of the securities market. It is not the value of this number that is important, but its dynamics. With depressive phenomena in the economy, the indices fall, with the rise - they grow.

The most important thing when studying the value of the index is the stocks and bonds from which it is formed. Depending on this, indices are:

• indices characterizing the stock market as a whole;
• market indices for groups of securities (government securities market, bond market, stock market, etc.);
• indices of securities of the industry (oil and gas complex, telecommunications, transport, banks, etc.).

Comparison of the dynamics of the indices shows how the state of the industry is changing. For example, a rise in oil prices can provoke an increase in the quotations of all oil companies.

News agencies and stock exchanges calculate and publish stock indices. The most popular are the indices of the rating agencies Standard & Poor's (S&P). These include the main S&P 500 index, which unites the 500 most capitalized companies in the United States (80% are traded on the NYSE, 20% on the AMEX).

NASDAQ uses its own set of indices, which takes into account the behavior of more than 4,500 US and foreign companies. These include the NASDAQ Composite Index (unites all listed companies), NASDAQ National Market (US companies), as well as a host of industry ones. The main industry one is the set of Dow Jones indices, which includes:

• Industrial DJIA - calculated based on the share prices of the 30 largest companies from the leading industries in the United States;
• Transport DJTA - covers the shares of the 20 largest US transport companies;
• communal DJUA - shares of 15 companies in the field of electricity and gas supply.

You can earn money by trading stock indices. After all, it is easier to predict the behavior of the industry than the quotes of individual stocks (they are influenced by a host of other factors). It is impossible to trade the index itself, because it's just a number. Purchase and sale transactions are carried out using standardized futures. When buying or selling an index futures, the parties to the transaction place a bet on the change in the underlying indicator. That is, a trader buying futures conditionally buys or sells a block of shares of companies included in the index.

It should be noted that in order to trade futures on stock exchanges in the USA, Europe or Asia, several thousand dollars must be deposited into the account. For a beginner, the level of risk even on mini-contracts is quite high.

Forex companies offer CFD trading on indices. You don't need to have a lot of money to use this tool. In essence, CFDs are practically no different from futures, but at the same time they allow you to conclude transactions in fractional lots (as well as on currency pairs).

How do I use stock indices?

The easiest way to understand the essence of stock indices is to use an example. Let's say the investment amount is 100 thousand USD. The money was invested in this way: 20% - purchase of Gazprom shares, 15% - Lukoil, 10% - Sberbank, the rest was distributed in different parts on shares of Rosneft, VTB Bank, MTS and other issuers. The value of the investment portfolio on this day is taken as 100%, or 100 points.

The next day, the prices of previously purchased shares changed. For example, Gazprom will rise in price by + 5%, Lukoil - by + 3.5%, Sberbank - will fall by -1.5%, other shares will also behave differently. But in general, by the end of the day, the value of the investment portfolio will increase to 101,200 USD. The change in the value of the portfolio will be + 1.2%. This means that the “index” rose to the level of 101.2 points.

A simple example shows that by analyzing indices, one can get an idea of ​​the behavior of the market as a whole. Therefore, if in a month the value of the investment portfolio is 115 thousand USD, it means that the stock market has grown by 15%.

Using indices, you can form a specific investment strategy.

The essence of the first is that, having bought securities, keep them until their value:

• will grow to a level that provides an acceptable level of efficiency of financial investments;
• will fall to a level at which financial losses are above the acceptable level.

The second strategy is to timely sell some securities and buy others. Using this strategy, a trader needs to analyze the technical characteristics of stock charts, as well as changes in the economic and financial indicators of the company and the economy as a whole.

The main instruments of the stock market

The main trading instrument in the stock market is securities. They are divided into main and derivatives (derivatives).

Basic securities- these are securities, which are based on property rights to any asset, usually to goods, money, capital, property, various resources, etc. These securities include: shares, bonds, promissory notes, bank certificates and others.

Stock is a security issued by a joint stock company. It establishes the rights of the owner (shareholder) to receive part of the profit of the joint-stock company (JSC) in the form of dividends, to participate in the management of the joint-stock company and to part of the property remaining after its liquidation. As a rule, shares are divided into two groups: ordinary shares and preferred shares.

Bond- This is a promissory note for the return of the invested amount of money after a specified period with or without payment of a certain income.

Promissory note(from German Wechsel - exchange) is a written commitment to pay a specified amount of money to a specified person within a specified period. In world practice, the issue of a bill is available to any organization. A bill of exchange is an instrument of credit and payment. For example, a creditor, having received a bill for a loan issued, can receive the amount indicated in the bill by transferring the bill to another person or bank.

Derivative security or derivative is a financial contract between the parties that is based on the future value of the underlying asset. The owner of the derivative enters into a contract for the purchase of the main commodity in the future, without having to think about warehousing and delivery. And this contract can already be traded. Derivative securities include: futures (commodity, currency, interest rate, index, etc.), freely tradable options and swaps.

Futures contract is an agreement to buy / sell an underlying asset at the price agreed upon at the time of the contract. The purchase / sale itself takes place at some point in the future. Futures are traded only on exchanges.

Option- gives the buyer the right to carry out a purchase / sale transaction, subject to the payment of a fee to the seller of the option. Under the option contract, the buyer has the right to fulfill his obligations. The seller is obliged to complete the transaction in accordance with the agreed conditions.

Swap is an agreement between two parties on the future exchange of underlying assets or payments for these assets in accordance with the terms specified in the contract.

What is the best way to trade on the stock market?

The stock market offers a wide variety of trading instruments. But which one to use? Newbies prefer to trade stocks and futures.

Among the main mistakes of novice traders are the lack of a strategy, an unreasonable increase in risks and unsure behavior when making decisions.

According to statistics, most novice traders are disappointed in the exchange after the first blunders and loss of a deposit. Insecure people who are too critical of themselves are prone to such actions. Therefore, working with securities involves careful work on oneself: any failure must be perceived as an impetus to development.

Analysis of the existing methods of exchange trading made it possible to single out several basic rules for working with securities.

1. Carefully study the market and the behavior of its key players, as well as the political environment.
2. Plan every trade thoroughly - even one that doesn't seem like a big deal. Work through the smallest details, prepare contingency plans.
3. Remain optimistic even in cases of serious losses.
4. Stay cool in every situation. Be patient and restrained, do not take hasty steps.
5. Set achievable goals for yourself. After reaching, complicate the task - increase the level of goals.
6. A beginner trader should remember that trading during the period when macrostatistics or important data are released will inevitably lead to losses. However, experienced market participants argue that it is possible to enter the market only about an hour after the release of the data. This time should be enough to analyze the situation and form a strategy of behavior in the current situation.
7. Do not take loans under any circumstances! For trading on the stock exchange - only personal funds.
8. Stick to the 2% limit on your available capital. This value of the permissible degree of risk has been calculated by experts. Going beyond it threatens to turn sensible business risk into blind gambling.
9. In a sluggish market, take a wait-and-see attitude - and only react to a strong clear signal. Do not try to guess the top and bottom of the market: it is useless.
10. Do not trust trading robots that promise lightning sky-high profits. Less money is better, but with a greater guarantee than a large profit, but with a 99% probability of losing it.

Which stocks to buy?

How to trade in the stock market is an important question for a novice trader. It is impossible to give a universal answer to it. However, we offer a list of the main steps on the way to buying shares, which must be taken by each participant in securities trading.

First, the safest and most stable investment option is to invest in blue chips.

Blue chips- these are the shares of the first echelon companies. These are companies with large capitalization, transparent accounting and order in financial matters. These companies are well known: Apple, Google, Gazprom, Norilsk Nickel. The name "blue chips" came to the exchange from poker, in which players place bets in chips different colors, blue are the most expensive.

Blue Chips are suitable for any trading strategy and investors with any trading experience. Their distinctive features are high stability and liquidity. Blue chips usually reflect the general market situation. For them to collapse 2-3 times, the economy must collapse 2-3 times. In addition, the trading volume for blue chips is always high. There is always supply and demand for them. If an investor buys such shares, he does not worry that they will not be able to sell them later.

The rest of the securities, trading volumes for which are small, the number of active exchange players does not exceed a dozen, are categorized as "Second echelon", "Third echelon", "Fourth echelon", etc. That is, the higher the “echelon” order, the less liquid the share is.

It should be noted that blue-chip stocks are characterized by moderate profitability - their value will not change dramatically. Unlike shares of the second tier companies (they have less liquidity and are considered more risky). In the case of successful operation of such companies, their shares may rise significantly in value. The third tier includes shares of emerging companies. Investing in their securities is the most risky, but the income can be maximum.

For novice investors, whose goal is profitable to invest money for a long time, it is safer to buy shares of first-tier companies, or blue chips.

Secondly, you need to decide on the industry, the shares of which are better to buy. Today, the most profitable investment is in the field of IT - technologies. The global turnover is about $ 3.4 trillion per year. According to experts, the most profitable is the mobile Internet and online sales. It is these areas of the IT industry that are most popular and are rapidly developing in modern world.

The second lucrative industry to invest in is the recycling business. The most important thing is that there is no risk of competition in it - it is almost absent, and there is always a source of raw materials. Modern processing technologies make it possible to obtain up to 800 grams of secondary raw materials from a kilogram of waste. The projected payback of this type of business is from 10 months to 2 years.

When choosing an industry to invest, you should remember the following. If the purpose of investing is long-term accumulation of money, then for investments it is better to choose stable industries such as the production of fertilizers. If the goal is to make a profit in a short time, then you should invest in high-tech companies. The unpredictability of this industry carries great risks for the investor, which means that the profitability of operations is much higher.

In order to choose an industry for further investments, it is necessary to conduct a superficial analysis: the prospects for the development of industries, find out the price of energy resources, etc. For example, with high energy prices, it is better to refuse to buy shares of gas and oil companies and wait a little to buy when the price of oil falls.

Third, on the basis of the first two steps, you need to determine the approximate range of stocks in which you should invest money and study them more closely. First of all, you need to familiarize yourself with the financial statements of the company, analyze its main indicators for several years: profitability, liquidity, cash flows, profit growth rates and others. For clarity, it is better to build graphs and draw conclusions from them.

• EPS - shows how many rubles (dollars, euros) the company earned for the period per share. EPS is calculated using the following formula: EPS = (Profit - Dividends on preferred shares) / number of ordinary shares. Also, this data is in the quarterly reports of companies. They can be found on specialized sites and even in the news.
• P / E - shows how many years the company's profit will cover the costs of purchasing its shares. P / E is calculated using the following formula: P / E = Price / EPS.
• EBITDA - translated into Russian as “profit before interest, taxes and depreciation”, the indicator allows you to trace the formation of profit at all levels.
• PS is the price-to-earnings ratio. It is calculated using the formula: P / S = share price / earnings per share, or: P / S = share price * number of shares (capitalization) / earnings. The lower the P / S, the more attractive the company's shares are compared to the rest.

Based on the data obtained, graphs should be built over several years and trends should be evaluated.

It should be noted that the publication of data on production and financial indicators is mandatory. The most common document is the international financial reporting standard, IFRS, which indicates the most important financial indicators, such as turnover, operating profit, net income, expenses, assets and liabilities of the company. As a rule, reporting is provided once a quarter, and in January-March, a report on the company's activities for the past year is published. In addition, some companies publish interim and monthly reports.

Should you buy Penny Stocks?

Penny Stocks are the cheapest stocks. They are often considered garbage and a tool for scammers. Penny means a one cent coin, and such stocks represent a very low price (mostly a cent or about two dollars).

Trading Penny Stocks can bring both good profits and impressive losses. But in practice, Penny Stokes have acquired a reputation for being a game of fraud and corruption.

Penny Stocks can be purchased through your broker, but most of the time cheap stocks are traded on services such as the US OTC Bulletin Board (OTCBB) and OTC Markets Group - Pink Lists - an OTC stock trading system.

The main reason why a novice investor should not trade Penny Stocks is their instability. If you find and invest in the right stock, then its price can jump, for example, from $ 0.08 to $ 8 in two weeks. But there are very few companies that have made a successful rally from penny stocks to wealthy stocks. And such a risk for an investor can be considered unjustified.

What is an IPO?

IPO (Initial Public Offering) is a procedure for the public offering of shares of a joint stock company for an unlimited number of investors. In simple words, IPO allows you to sell shares of a company on the stock exchange, where anyone can buy them.

For investors, it cannot be said unequivocally that participation in an IPO is a good way to make money. There are both positive examples (Moscow Exchange, ALROSA, Magnit) and negative (VTB, TMK, DVMP). When making a decision, the investor must analyze the financial condition of the issuer, the state of the industry, the economic, political situation in the country and other factors. For a novice investor, such a volume of analytical work may not be possible. Therefore, there is a team of analysts (usually from the organizers of trades), which conducts the analysis and presents it to a wide range of potential investors.

Until the official start of trading, private investors cannot buy shares of the company. Often in the first days of trading, shares of new companies are subject to strong fluctuations, so analysts usually advise not to rush into transactions, but to wait until the price settles at a more or less stable level.

Bulls and bears - who's who in the stock market

“Bulls” and “bears” refer to the players in the securities market who follow different strategies.

Bulls strive to "raise the price of horns", i.e. their market strategy is profitable when rates rise. It is important for them to wait for the price to rise and sell the shares, the difference will be income.

The Bears make money on the decline in the value of securities. Traders choose the shares of those companies, which, in their opinion, will become cheaper in the near future. This may be due to the publication of bad reporting by the corporation, the dismissal of the CEO, an accident at the enterprise, and other factors. Then they take on the stock exchange the securities of this company on collateral. For example, they borrow 1,000 shares and immediately begin to get rid of them. After selling at $ 1 per share, $ 1,000 is credited to their exchange account. In the event of a further fall in prices for these securities during the trading session, "bears" begin to buy all the shares back, but not at 1 dollar, but at 50 cents. After buying back the shares, traders return them to the owner, leaving themselves a profit of $ 500 minus transaction fees.

It should be noted that there is no clear division between bears and bulls in the stock market. Each player can play one asset for a rise and simultaneously for a fall on others. Such unusual names determine the general mood of the market. If the majority of those who want to sell, and almost no one wants to buy, they mean a "bearish" mood, i.e. there are more bears than bulls in the market at the moment. And the chosen strategy and model of behavior depends only on the goals and desires of the trader.

The stock market, stocks, bonds and other securities are terms that mislead ordinary users. ProfitGid decided to shed some light on these concepts and talk in detail about exchanges, their participants, processes and important functions. Thanks to this, you can significantly improve your financial literacy, since the stock market plays an important role in the global economy.

The stock market is also called the securities market. It is intended for buying / selling stocks, bonds, currencies, and so on. In more complicated words - economic relations regarding the issue and circulation of securities between its participants.

Securities are bought or sold not only on the stock exchange. There is a so-called over-the-counter relationship where a buyer and a seller meet in person and discuss the terms of a deal. Nevertheless, the main part of securities is traded on the exchange, since it guarantees the safety of funds and the fulfillment of the obligations of the parties.

Stock exchange structure

The functions of the exchange include the organization and control of trading. Modern technologies have greatly facilitated the organizational process. If earlier the participants shouted out their offers to buy shares, today all this happens using computer technology in a closed system.

The full functioning of the exchange is ensured by the following elements:

• the trading system - it records orders for the purchase and sale of securities, after which, if the counter offers coincide, they are automatically closed and entries are entered into the accounting register;
• a clearing house or clearing house - its tasks include accounting for stock exchange participants, transferring money to the seller's account when making transactions, writing off finances from investors' accounts, and so on;
• a depository center - its tasks include providing securities that are debited from the accounts of companies or their owners and transferred to buyers.

Stock market participants

Several different persons can participate in trading on the exchange. Companies and states can issue shares, but who directly provides the liquidity of the issued securities, buys and sells securities?

Among the main participants, the most important are:

1. Specialists.

They are considered one of the most important members of the exchange. The specialist is assigned to a certain type of shares, after which he is obliged to maintain their liquidity. They keep a ledger, make a list of requests that can be satisfied immediately, while others are executed in turn.

1. Commission brokers.

The customer wants to buy shares or, on the contrary, sell them. To do this, he contacts a brokerage firm. She, in turn, transfers the order to the broker, whose task is to search for orders to satisfy the order. If he finds an offer that matches the requirements, the deal is closed. In case of failure, the application is transferred to a specialist and becomes queued.

1. Stock brokers.

They do not cooperate with a specific brokerage firm and provide their services in cases where commission brokers do not have time to satisfy all orders. For the fulfillment of the order, they receive a percentage of the commission paid by the customer.

1. Dealers (stock traders).

The trader is an independent member of the exchange. He cannot cooperate with brokerage companies, therefore he enters into transactions at his own expense.

1. Issuers.

Issuers can be companies or states that issue securities on the stock market.

1. Investors and shareholders (buyers / sellers).

To a large extent, market liquidity is provided by investors and shareholders. The more often buy / sell deals and the higher their volume, the more liquid the stock market is considered.

What are called securities and what types they are divided into

Securities confirm ownership of their holders and vice versa impose certain obligations on their issuers. To present your rights, it is enough to provide this paper. The main goal pursued by the issuer is to attract finance.

Securities can be divided into 2 groups:

1. Main securities:

• stock;
• bonds;
• promissory notes;
• certificates of deposit;
• bills of lading;
• checks;
• warrants;
• savings certificates;
• mortgages;
• trust certificates.

1. Derivative securities (derivatives):

• futures contracts;
• options;
• swaps.

Let's take a closer look at each type of stock.

Stock

They secure ownership of a part of the company to its owner. Since the shareholder is partly the owner of the organization, he is entitled to receive dividends from part of the company's income. The amount of payments depends on the number of shares. It is important to note that in the case of unprofitable activities, dividends may not be paid, therefore, investing in securities also carries risks.

These securities, in turn, are divided into ordinary and preferred. The first ones make it possible to vote. 1 share is equal to 1 vote. Therefore, to manage the entire company, it is enough to take possession of 51% of the shares.

The second type can restrict the owner in managing a joint-stock company, but they have a number of important advantages. Such shares guarantee income, since the payment is implied not only from income, but also from other sources of funding. They have the primary right to repay the cost in the event of the liquidation of the organization.

Bonds

They confirm the right of their owner to receive their par value from the issuer. In some cases, the bond involves the payment of interest to the owner based on the par value. In general, this asset can be compared with a loan. The issuer, thus, attracts funds for its own needs, and in return pays interest, and at the end of the term returns the par value of the bond.

Such securities may differ in several ways:

• by borrowing period: from 1 to 30 years;
• by the issuer: state, municipal, corporate;
• by type of income: discount, fixed interest rate and floating interest rate.

Promissory notes

A bill of exchange is another type of securities, which is a certificate of the transfer of obligations. The relationship is carried out between the drawer (debtor) and the drawer (creditor). The latter can transfer rights to another person by selling a bill.

In simple words, a bill of exchange is a written pecuniary obligation of the debtor, which is drawn up in accordance with the requirements. His debt can be sold to another person.

Certificates of Deposit

They are securities that indicate that a legal entity has a deposit in a particular bank. The peculiarity of the certificates is that they are in free circulation.

Savings Certificates

They indicate that an individual has an account with a specific bank and imply payment on time.

Bills of lading

A valuable paper that is actively used in cargo transportation. It confirms the rights of the owner when transporting goods or other valuable cargo.

Checks

A security, the owner of which can expect to receive payment at the drawer's bank. This form of economic relations was actively used in the 20th century and still exists today.

To receive a checkbook, you need to open a bank account. After the check holder can write out amounts for non-cash payments within the limits of his deposit. It is important to note that the check cannot be revoked, however, you can specify a period for presenting it for payment.

Warrants

This is a security that gives its owner the right to buy a certain amount of shares at a reduced price. Companies can use it when re-issuing shares. The warrant is very popular in the stock market with speculators, because its price is significantly lower than the value of the securities that it is based on.

Mortgages

They are used in mortgage legal relationships. The mortgage bond confirms the owner's right to receive a monetary obligation, which is secured by the mortgage.

Trust certificates

They are issued with the aim of raising funds from individuals and legal entities. The raised money is then used to invest in other assets.

A certificate of trust is referred to as trust management. It confirms the owner's right to receive the amount of the contribution and the income established when transferring funds.

Futures contracts

Futures is a derivative financial instrument, the main task of which is to establish the price level and the delivery time of the product. The rest of the points (volume, packaging, quality, and so on) are negotiated in the exchange contract.

Options

An option is a contract by which the buyer obtains the right to acquire a certain asset in the future at a specified price. The seller of the option undertakes to make the sale of the asset according to the agreed terms. In general, this instrument is similar to futures, although it has some differences.

As a result of the development of market relations, exotic options began to appear. Among them are: Asian, barrier, binary, and so on.

Swaps (exchange)

Swaps are another productive financial instrument. In this case, the parties agree on the exchange of a certain asset, and also conclude a counter-transaction for the reverse exchange after a certain time. Swaps can be represented as a multi-period exchange of payments.

Stock market: the largest exchanges

Based on the results of 2015, a list of the largest stock exchanges in the world by capitalization was compiled. Below you can see the list of the top 10.

Stock market development in Russia

The stock market in Russia worked even before 1917. However, the coming to power of the communists ended exchange relations. There were no prerequisites for the revival of the exchange, since all enterprises belonged to the state. Since the relations of the subjects were not regulated in any way, the so-called "black market" existed.

The first preconditions for the development of the stock market began in 1990, when the Resolution of the Ministers of the RSFSR "On Approval of the Regulations on Joint Stock Companies" was adopted. Despite this, the development of exchange relations was greatly slowed down. This is due to two factors.

Firstly, the population was poorly financially savvy, which did not allow the stock market to open up to its fullest. To ensure liquidity, it is necessary to attract not only issuers, but also investors.

Second, the development of the stock market was hampered by the privatization of state-owned enterprises, which was carried out in the early 90s. Private entrepreneurs became owners of companies through personal connections and informal relationships. If tenders were held, a limited number of people were admitted to them.

The Russian stock market began to grow after the 2000s, when the country's economy showed an upturn. Along with this, the following positive moments occurred on the exchanges:

• increase in sales;
• an increase in the liquidity of securities;
• information security;
• strengthening legislation;
• protection of the rights of exchange participants and so on.

In 2011, the Moscow Exchange was formed, which appeared as a result of the merger of the MICEX and the RTS. On this stock exchange you can buy or sell:

• stock;
• bonds;
• futures;
• currency;
• precious metals;
• grain and so on.

According to official data, by the beginning of May 2016, the Moscow Exchange opened 118 thousand investment accounts.

Stock market brokers

To conclude transactions, the investor contacts a brokerage company, which performs the necessary operations on the exchange. ProfitGid has prepared a small list of organizations that provide their services in Russia and Ukraine:

• Finam;
• United Traders;
• Zerich;
• Alor Ukraine;
• Freedom Finance;
• InstaTrade;
• i-Invest;
• xDirect and others.

There are also alternative ways to purchase shares of foreign and domestic companies. To do this, you can use the online securities store.

How to make money in the stock market?

Investors invest money with only one goal - to make a profit. Stocks are one of the preferred instruments of wealthy and successful people... Let's take a look at how you can profit from securities?

Dividend

One of the main sources of income is dividends. 1-4 times a year a part of the company's profit is distributed among the shareholders of the company. The amount and necessity of payments are always discussed at the meeting, and one share is equal to one vote.

It is important to note that the profit received can be used for investment in individual projects of the company or the creation of new divisions, if a decision is made at the council. This will have a positive effect on the returns to shareholders in the future, as the shares can rise significantly in value.

Speculation

The prices of securities fluctuate constantly, which can be used by traders to their advantage. The speculator's task is to buy shares and then sell them at a higher price.

The quotations of securities are influenced not only by supply and demand, but also by the prestige of the company, its income, and the like.

Modern technology has made the stock market more accessible. Today, everyone can purchase the required number of securities. To do this, it is enough to have at least a small capital and access to the Internet.

Any person who wants to increase their capital will inevitably have to face the concept stock market... Securities are the most popular way to invest money, as they allow you to get multiple profits and are a hot product that allows you to quickly buy and sell them, which cannot be said, for example, of the same real estate.

But first things first. In this article we will try to understand what the stock market is, how it works and what functions it performs.

What is the stock market?

The main word in this definition is the market. Since this is a market, therefore, there are sellers who offer a certain product, and buyers who buy this product. In the stock market, securities are commodities. That is why the stock market can be called the securities market in another way.

The stock market is a mechanism that ensures the transfer of funds from one sector of the economy to another.

To make it easier to understand, let's give a simple example. There is a company that produces a certain product, and it does not have enough money to continue production. To receive this money, the company issues certain securities on the stock market on its own behalf.

At the same time, another company that has the required amount of money buys these securities. Thus, there is a redistribution of capital between enterprises and industries.

Stock market participants

Stock market participants are:

1. Issuers - those who issue (produce) securities on the market;
2. - buyers of securities;
3. Professional market participants are individuals and companies for whom trading on the stock market is a professional activity (dealers, brokers, etc.).

Finally, the stock market is a tool for attracting foreign capital. For example, if an interesting and promising company appears on the Russian market, it will be able to attract money from foreign investors for its development, which it will use again on the Russian market.

Thus, it will be useful not only for the company that has attracted foreign capital, but also for the residents of Russia, as they will be able to apply for new jobs. The budget of the country or the region in which the company operates wins, since it will pay more taxes.

How securities are traded

The most important link in the stock market is the organizer of trades, thanks to which, in fact, the purchase and sale of securities takes place. Typically, the organizer of trading is the stock exchange.

On the Russian scene, the key players are () and the Russian Trading System (RTS).

Stocks are mainly traded on the MICEX, but mainly, you will need to pay an entrance fee of three million rubles.

• Good news! That is why we have such a demand for the services of brokers, management companies and other professional market participants. It makes sense to engage in independent trading bypassing intermediaries when you have a lot of capital and are ready to do it seriously and professionally.

But if you don't have big money then you may well be trading the stock market through one of the many brokers. True, then you will have to pay him subscription service and commission for each transaction.

Conclusion

In conclusion, it should be said that the stock market is a huge and complex system, which is subject to certain laws and regulations and plays an important role in the economy of each state.

And if you want to learn how to manage your money, spend wisely and increase capital, you must navigate and understand how money works, how it circulates, with the help of which it multiplies.

P.S. To consolidate the knowledge gained, I recommend watching the video "How the Stock Market Works"

Good afternoon, dear readers of the financial magazine "site"! Today's post is dedicated to stock market (the securities market) and stock exchange ... Contrary to the opinion of many, this is not the same as Forex. We wrote about that in the last issue.

From today's article, readers will learn:

• What is the stock market and the stock exchange;
• What are the world's largest exchanges;
• What is traded on the stock exchange;
• Ways to make money on the stock market;
• How to start trading in the securities market for a beginner;
• What are the best brokers in Russia.

At the end of the publication are given professional advice, which will help to trade successfully novice traders. It will also be useful for readers to familiarize themselves with the answers to the most popular questions.

The publication will be of interest to both newcomers to the stock exchange and those who already have some knowledge in this area. Remember: time is money! So do not waste a minute, rather start reading the article!

What is the stock market (or the securities market), what are the stock exchanges, how and where to start trading in the stock market for a beginner - read about this and more in this article.

Stock market otherwise called the securities market. It is the most important part of the financial market, because it is here that all existing types of securities circulate.

In the course of the company's vigorous activity, when its development takes place, a moment inevitably comes when its own funds are no longer enough. In order not to be satisfied with what has already been achieved, the management will have to find options to attract additional money.

Usually for these purposes they use:

• Bank loan Is the most popular way to get money.
• Issue of shares. They are classified as equity securities. When the shares are sold, the company that issued them will receive the cash. At the same time, the investor who bought the shares receives a small part of the company. They do not give rise to an obligation to return the money. But an investor can benefit from stocks as dividends , as well as the opportunity to participate in the life of the company. In addition, there is an opportunity to sell shares when their value becomes higher than that which was at the time of purchase, thereby receiving income.
• Issue of bonds- debt securities. In other words, the organization borrows funds from investors, which it subsequently undertakes to return with interest.

Fundraising options related to issue of securities are carried out by stock market. It turns out that it is the place where the attraction and redistribution of money among companies takes place, economic spheres, market participants and other subjects of the securities market.

1.1. Securities market participants

The stock market is based on its participants. They can be classified based on various characteristics. Let's take a closer look at what they are.

1) Intermarket participants in the stock market

Intermarket call those participants engaged in service or operating simultaneously in different markets, one of which - stock.

These participants include the owners of funds investing them in a variety of assets: not only in securities, but also in real estate, currencies and others.

In addition, intermarket participants are agencies that provide information, provide advice, make ratings, and other professionals working in several different markets at once.

2) Intramarket participants

Concerning intramarket, such participants, on the contrary, use in their activities exclusively or mainly securities.

Intramarket participants are professional and non-professional.

Non-professional participants - these are issuers, as well as investors who invest all or part of the money intended for investment in securities.

Professional participants in the securities market carry out certain functions in the stock market. These activities can only be carried out after receiving licenses.

Among the professional participants are:

• professional traders;
• organizations creating infrastructure.

The latter carry out certain types of activities on the securities market:

• brokers engage in transactions with securities (buying and selling) at the expense and in the interests of their clients;
• dealers conclude transactions with stock market instruments at their own expense and on their own behalf;
• management companies are engaged in the placement of funds transferred to them by clients for the sake of profit;
• registrars maintain a list of persons who own securities (the so-called register);
• depositories carry out storage and accounting;
• clearing companies make calculations;
• organizers create conditions favorable for the implementation of operations ( for example, stock exchange).

1.2. Structure of the securities market

The stock market is a complex structure with many different qualities. That is why you should study the securities market from different angles.

For ease of perception, the various structures are summarized in the table:

All the types of markets presented are interconnected. So, most securities are circulated on exchange market. He always belongs to the organized ... In contrast, over-the-counter can be both organized and unorganized.

In modern developed countries, there is no unorganized market. Organized is represented exchanges as well as various electronic trading systems that represent the over-the-counter market.

✏ What is a stock exchange?

Stock Exchange Is an organization that creates the necessary conditions for the conclusion of transactions on the securities market.

There are several distinguishing characteristics of the computerized market:

1. The trading process is automated and continuous;
2. Pricing is not public;
3. Trading places are located where the buyer and the seller are located;
4. The parties to the transaction do not physically meet anywhere.

The spot market occupies a large part of the securities market. Derivatives are most often traded on derivatives. It is subdivided into:

• monetary - the term of the instruments circulating here does not exceed a year, checks, bills of exchange, as well as short-term bonds are used;
• investment or capital market - instruments have been in circulation for more than a year (stocks, medium and long-term bonds).

1.3. Functions of the securities market

The stock market performs a number of important functions in the economy. They are divided into 2 large groups - general market and specific.

General market functions typical for any market. These include:

1. Pricing - due to the interaction of a sufficiently large number of participants, supply and demand for securities is formed. When a balance is established between them, value is formed.
2. Accounting consists in the obligatory reflection of the circulating securities in the registers; professional participants must register, have a license, pass certification; operations are reflected in the protocols, as well as contracts. Moreover, thanks to the accounting function, the state has the ability to exercise control over activities in the stock market.
3. commercial represents an opportunity to extract profit from operations with securities.
4. Information function means that the market operates on the principle of maximum information transparency. Participants in operations can get all the information they need.
5. Regulatory - operations help to influence the economies of countries, as well as various processes in society.

Specific functions of the stock market:

1. Hedging or, more simply, risk insurance , occurs due to the ability to distribute risks. The fact is that various instruments circulate on the market, the level of risk and potential profitability of which is not the same. As a result, both conservative and aggressive investors can choose the right tool for them. The first prefer low-risk, but the return on investment in them is much lower. Aggressive however, investors choose the instruments that allow them to get the maximum profit. Naturally, by doing so, they take more risk. Moreover, the variety of instruments allows each investor to distribute risks in a way that suits him.
2. Redistributive function relates primarily to the primary market. Here the funds are channeled to the purchase of securities. The result is the transfer of money from the area of ​​accumulation to the production sphere. However, the secondary market is also involved in the distribution. Here the securities are resold while continuing to circulate. Naturally, the price of the most popular of them grows, and investors get rid of unpromising investors. As a result, there is an inflow of funds into some sectors and withdrawals from others. This allows you to distribute money depending on the needs of the economy.

Thus, the stock market is an irreplaceable part of the economy. It is diverse, participatory and fulfills a number of critical functions.

The largest stock exchanges in the world (by capitalization) - London, New York (American), Tokyo and others

2. Stock exchanges of the world - an overview of the TOP-7 largest trading floors 📊

In the modern world, there is great amount stock exchanges. Their number reaches several hundred... However, not all of them are popular with investors.

To earn a good reputation, an exchange must not only be a reliable intermediary, but also serve customers at the highest level, and provide the maximum number of instruments.

Experts distinguish several world exchanges, which, due to their maximum efficiency of their activities, have earned prestige among a huge number of market participants for many years.

1) New York Stock Exchange (NYSE Euronext)

She is popular all over the world. Today this exchange is one of the most influential in the world and is in the first places in the world ratings. This exchange was formed not so long ago - in 2007 year. But the creation was carried out through the merger of two major world exchanges - NYSE with Euronext... The resulting exchange took over the power and reputation of the two exchanges.

The influence of the New York Stock Exchange can be judged by some data:

• securities of a huge number of issuers circulate on it - today there are more than 3,000 of them;
• capitalization is almost sixteen trillion dollars;
• The New York Stock Exchange controls the stock exchanges of many major world cities, including Lisbon, London, and Paris.

2) American Stock Exchange NASDAQ (Nasdak)

Strives to be as close to the leader as possible. Today the capitalization of NASDAQ is in second place among world exchanges. Officially, the work of the exchange began in 1971 year, however, in fact, its history began earlier - after the signing "Act Maloney"... It was at this time that a dealer association was formed for the first time in the world.

Feature of this exchange consists in the uniqueness of the trading system. There is some kind of competition going on here for the execution of trades. Moreover, each market maker has a certain number of securities. Their function is to help maintain the liquidity of their shares, as well as to establish their value.

In order to increase its influence, the NASDAQ tried two times to acquire London Stock Exchange , but unsuccessfully. To enter the European market, the exchange had to buy over seventy percent of the shares OMX Group- the largest business association in Sweden.

3) Tokyo Stock Exchange (TSE)

This exchange is one of the oldest and largest. The year of her formation is considered 1878 ... During the time that has passed since that moment, the exchange has managed to reach the third place in terms of capitalization.

At the moment, securities of Japanese companies, banks, and foreign issuers are traded in Tokyo. Their number now exceeds 2,300. At the same time, more than eighty percent of the turnover of Japanese exchanges passes through the Tokyo one.

Three types of participants take part in the auction:

1. intermediaries who are called saitori;
2. regular companies;
3. linking (special) companies.

4) London Stock Exchange (London Stock Exchange, LSE)

V 1570 A royal advisor named Thomas Gresham founded the London Stock Exchange. It is a joint stock company.

For the most part, local stocks are traded here. They are divided into several groups, the main of which are:

• main;
• alternative;
• the securities market (here trading is carried out in the shares of high-tech companies).

An important feature of the London Stock Exchange is that it is open to international firms. Moreover, over 50 % the shares traded here are owned by foreign companies. In addition to stocks, options and futures are also sold here. The capitalization of the exchange today is more than two trillion.

The exchange calculates its own index on a regular basis - FTSE100... His analysis allows you to assess how successful the English economy is.

5) Shanghai Stock Exchange (SSE)

Today it is the largest exchange in China. According to the level of capitalization, experts usually rank it in fifth place.

Shanghai Stock Exchange was established back in nineteenth century. At that time, foreigners were prohibited from purchasing shares in Chinese companies. To somehow get around this restriction, Chinese businessmen organized the Shanghai Brokers Association.

As a result, through 10 years, the government allowed trading in Chinese stocks. This allowed the exchange to function and develop normally.

Shares of companies, exchange-traded investment funds, bonds are traded on the modern Shanghai stock exchange.

The main requirement for companies to enter the stock exchange is to conduct business not less than 3 years .

The index is calculated using all exchange-traded instruments SSE Composite... Its value at the level 100 ... Depending on the market situation, the index changes up or down.

6) Hong Kong Stock Exchange (HKSE)

Among Asian exchanges, Hong Kong ranks third a place.

Informal activity started with 1861 of the year. Wherein official basis happened in 1891 year.

Since 1964, an index has been calculated, which is called Hang sang... Dozens of the largest companies in Hong Kong are taken into account.

7) Toronto Stock Exchange (TSX)

This exchange is the largest in Canada and is rightfully included in the seven most popular world exchanges. It was created by several Canadian brokers in 1852 year. Less than a quarter of a century later, the state recognized the Toronto exchange. From that moment on, she began to earn her worldwide fame.

Today, shares of several thousand industrial organizations are traded here. Wherein most of the market belongs to companies whose activities are related to natural resources.

Today the capitalization of the Toronto stock exchange exceeds one trillion US dollars.

3. What is traded on the stock market - an overview of the TOP-4 popular financial instruments 📋

There are quite a few goals fulfilled by the stock market. Working here, traders and investors must necessarily choose the best instrument for themselves, especially since their number is large. Let's take a closer look at what is traded on the stock market.

1) Promotions

Stock Is an equity security. It allows the owner to receive part of the company's profit in the form dividends, and is also proof of ownership of a share in the company.

If one investor manages to acquire more 50 % of shares, he will have the opportunity to influence the activities of the company.

A number of advantages and disadvantages that are inherent in stock trading.

Among the advantages are:

1. the opportunity to make a profit in a short period of time;
2. the ability to track the state of the market from anywhere in the world where there is Internet.

The main disadvantage of stock trading lies in the fact that there are no guarantees of making a profit. The cost does not always move in the right direction, which means that there is a risk of losing the invested funds.

2) Bonds

Bonds are debt securities, that is, they confirm that the person who bought them gave the company a loan. As a payment for the rendered service, the organization pays dividends.

The yield on bonds is usually lower than on stocks. The risk is also an order of magnitude lower. But it exists, since the company can go bankrupt, then the investor will most likely lose the money invested in its bonds.

3) Futures

Futures are a fixed-term contract associated with a transaction of an asset pledged in it; in the future, the transaction must be concluded at the price that was fixed at the time of the conclusion of the agreement.

Most often, the underlying assets are:

• raw materials such as gas or oil;
• agricultural products - corn, soybeans, wheat;
• currencies of different states.

Profit from futures depends on the growth in the value of this contract.

4) Options

Option Is a fixed-term contract. The most popular among them are those in which the underlying asset is used currencies and precious metals.

To make a profit by trading options, it is enough to guess how its value will change over time. By the way, we have already talked about in one of our publications.

It is important to understand that the above list of securities is not exhaustive. There are other tools as well, such as checks , swaps , promissory notes ... But they are not popular among traders.

The main ways to make money on the stock exchange

4. How to make money on the stock market - TOP-3 options for making money on the stock exchange 💰

In the modern world, the largest industry is activity in the stock markets. Their total capitalization in the world is equal to the total Gdp all countries and reaches seventy trillion dollars.

The number of people involved in this industry is increasing every day; today it has already reached several million. They are attracted by the potential opportunities that the stock market offers. Moreover, there are several ways to make money here, among which everyone can choose the one that suits him.

It is only natural that each option has its own Advantages and disadvantages... Let's consider the main methods, as well as the pros (+) and cons (-) inherent in them.

Option 1. Trading (trading) in the stock market

This way of making money is one of the most popular. He attracts with his potential opportunities, as well as essentially unlimited profit.

The goal of the trader, as in any other trade, is the same- buy cheaper, sell more expensive. In this case, transactions can be made at different time intervals:

• trade on super short term period or scalping - the position is closed after a few minutes or even seconds, the profit may not exceed a few cents, the result is due to a large number transactions;
• short or swing trading - deals are usually closed during the day, while it becomes possible to earn a few percent of the profit;
• long-term - the deal can be kept open for several months or even years, the profit can be hundreds of percent.

Step 2. Install the software on your computer

All trading will take place using a special program that allows you to enter the exchange online and conduct transactions, - terminal... It should be installed on a computer after choosing a broker using the download link provided on the brokerage company's website.

After installation, the terminal should be configured by setting convenient parameters of charts, adding used indicators and tools to them.

Step 3. Practice on a demo account

A demo account allows you to psychologically prepare for the start of work, check the intended use trading strategy .

Step 4. Open a real account

After you gain confidence in your own strengths, as well as in the chosen strategy during trading on a demo account, you can achieve a steady profit, you can open real account .

It is important to understand that if you cannot achieve a positive result when trading on a demo account, you should not start working with real money.

Professional traders advise switch to real trading only when you manage to double the amount on the demo account. The fact is that even with successful trading for several days, one cannot be sure that it will work in the future as well.

The market is unpredictable, often its movements are completely unexpected. Receiving one hundred percent income allows you to be sure that you will be able to withstand even a significant drawdown of the account.

Step 5. Real trade

When all the previous steps have been passed, you can start buying and selling securities, guided by the chosen strategy.

Perhaps at first, the drawdowns will be quite significant, since the fear of losing real and play money is significantly different.

Thus, when starting to work in the stock market, a beginner should be prepared for the fact that maximum patience and discipline will be required of him. It is forbidden rely solely on luck and intuition, do not deviate from the intended plan.

If at some point the chosen strategy ceases to be profitable, it is best to stop trading for a while. After that, it is worth analyzing the results and, possibly, changing some of the trading rules.

6. Rating of brokers of the Russian stock market - an overview of the TOP-4 best companies 💎

Today, a large number of companies operate on the market that offer mediation services between a trader and an exchange. Therefore, it can be difficult for a beginner to choose a truly reliable broker.

In order not to be mistaken, it is best to use a rating compiled by professionals at first.

# 1. BCS Broker

Many consider this company to be the best broker on the Russian stock market.

They offer trading with a large number of instruments:

• shares;
• bonds;
• options;
• futures;
• currency.

Beginners are recommended to use the tariff Start ... During the first month of operation, the broker will charge a commission equal to 0,0177 % of the deposited amount. Subsequently, the remuneration of the company will be determined in accordance with the turnover on the account.

BCS provides its clients with the opportunity to use high-quality analytics. For training, they offer webinars and seminars. Those interested can also use the service of individual lessons.

# 2. Finam

The fact is that the minimum deposit in Finam is 30 000 rubles, while the maximum leverage is only 1:50 .

Despite not very comfortable conditions, the broker is popular. This explains it reliability... Unlike most existing Russian companies, Finam has license issued by the Central Bank... This is a guarantee of the highest quality of the services offered.

No. 3. Otkritie-Broker

They offer three options for cooperation:

1. Independent trading;
2. Opening positions based on analytics from professionals;
3. Investing funds on individually developed terms.

Each option provides a large number of possible tariffs. Therefore, everyone can choose the ideal option from this broker.

Professionals recommend that beginners use analytical signals trading. The commission here is not very high - only 0,24 % of the turnover on the account, while it is possible to make transactions by simply calling the broker.

No. 4. Alpari

Often Alpari used to work in Forex. However, today they offer several futures options for trading. A further increase in the number of instruments is planned.

The undoubted advantage of the broker is the availability of high-quality training programs... Every day everyone (including unregistered users) can watch a large number of webinars.

Thus, when choosing the optimal broker, it would be useful to take advantage of the advice of professionals. Many of them managed to work with several companies, so they talk about all their features from the client's side.

7. 10 useful tips for successful and profitable trading in the stock market 📌💰

It is very difficult for most traders to start earning income in the stock market, and most often the difficulties are associated with the behavior of the trader himself.

The fact is that many people make similar mistakes, fall into the same traps. Most of them are the result of abandoning a clear trading strategy.

Chaotic trading can lead to significant losses. At the same time, most of the problems can be avoided if you use the advice given by professionals.

Advice 1. Develop a trading system

Trading must be conducted in accordance with a specific system. Every trader should develop a set of rules for himself. discoveries and closing positions.

Next, you need to make sure they work, using demo account ... If the result of the check turns out to be positive, you can trade using the system on real money... At the same time, it is important to strictly follow the developed rules.

You should not try to beat the market by opening a huge number of positions. To make a profit, it is enough one carefully crafted deal... Therefore, among the huge number of signals to open a position, it is worth choosing the one that best matches the system used.

If there is no clear signal, you should not enter the market at all. Sometimes no open positions are the ideal position.

A trader should not forget that during trading there are losses inevitable... It is important to learn how to put correctly Stop Loss incurring losses.

Do not be afraid of small minuses, since these are not losses, but inevitable expenses. Only competent loss management, which means risk, allows you to make trading as efficient as possible.

Don't rush to get huge profits.

The position should be opened as much as possible to the support level. Stop Loss must be set immediately.

If the price moves in the wrong direction, the loss must be fixed.

After entering the market, you should give the position to develop, leave plus (+)... But in the case of approaching the resistance line, it follows straightaway close the position.

Do not be greedy, otherwise the price will reverse and the profit will be noticeably less.

The moments when it was received minus (-), the necessary deal was mistakenly closed, the operation was not performed according to the rules, novice traders are trying to fix something by rushing to open new positions. This is not worth doing, as you can break the wood.

It is better to leave the market for several hours or even days, until the ability to soberly assess the situation reappears.

A trader should get rid of the excitement, it is recommended to conduct transactions calmly, adequately assessing the situation.

If a trader gets excited, he only creates the appearance of analysis, in fact, ignoring the most important signals. In this case, deals are opened hastily, which inevitably leads to sad consequences.

Tip 8. Do not use all types of analysis at once

Those who trade by analyzing charts do not need to view the news. It should be remembered that the schedule takes into account both past and future events.

Important! Any actions should be performed based on the trading system.

Training should be continuous ... Many traders, deciding that they know everything, start to lose money. They often enter trades based on knowledge alone, neglecting analysis.

Remember: there is always the opportunity to learn something new. Even if the system works, new knowledge can help increase profits and reduce losses.

Do not rely entirely on technical indicators, advisors, and untested strategies.

Before using the strategy in trading in the financial market, important make sure it works on demo account.

Today, the Internet offers a huge number of options for win-win earnings, which in fact turn out to be a trivial deception. There is an article on our website that explains in detail - it contains only real ways to make money online!

Thus, success in the stock market is possible only as a result of hard and painstaking work.

You don't need to trust someone who promises huge earnings in a short time. Trading Is always waiting ( better moment, outputs are a plus). Making money quickly and guaranteed will not work here.

It should be noted that the bulk of liquidity comes from the Moscow and St. Petersburg stock exchanges. Nevertheless, other sites continue to function.

Question 3. How to choose the right stock market broker?

The first step to trading the stock market is choice of broker .

Moreover, most beginners are guided by the following criteria:

• functionality;
• terms of the tariff plan;
• reliability;
• quality of technical support;
• number of clients;
• company turnover.

All brokerage companies offer different customer service plans. They are usually determined by the nature of the transactions.

When studying the reliability of a company, you should pay attention to how long it operates on the market. Naturally, you should not trust brokers that have been operating for one or two years. It would be useful to pay attention to who owns the company's shares. The most reliable brokers will be those whose shares belong to the state .

The number of clients is determined by the indicator of the number of active traders' accounts. It allows you to assess the extent to which market participants trust a particular broker.

When choosing a broker for cooperation, it is important to consider all factors together. This is the only way to choose a truly reliable partner and not be drawn into fraudulent schemes.

Question 4. Which works better - fundamental or technical analysis of the stock market?

Among traders working not only in the securities market, there are frequent attempts to compare fundamental and technical analysis... They try to understand which of the tools is the best and which can help them get more profit.

It is these two groups of methods that make it possible to analyze investment attractiveness of shares ... Moreover, they have significant differences, which are both in the instruments used and in the time period in which the technique is applied.

Traders who rely on fundamental analysis, focus their attention on how the demand and supply of the company's goods and services are related. In doing so, they analyze the following indicators:

• reporting;
• market position;
• the ratio of the share price to earnings;
• the rate of growth of the company;
• analyst ratings.

Fundamental traders tend to buy long-term securities. Therefore, they do not pay attention to how the stock price changes on a particular day.

During technical analysis on the contrary, the study examines the changes in the value of the instrument, reflected in the chart, over time. It was noticed that the price forms different figures and models which are periodically repeated. Therefore, when analysts notice another formation of an established figure or model on the chart, they draw conclusions about further price changes.

Fundamental analysis allows you to judge the strength that is embedded in a particular security. Technical analysis allows you to judge how variable their value is. Moreover, both types of analysis have their own Benefits and limitations .

Features of fundamental analysis

Benefits (+) of fundamental analysis are that it allows you to judge what are the trends in the market, as well as what factors influence it. It turns out that fundamental analysis allows us to understand what is the reason for the current trend.

Important minus (-) such a market assessment method is lack of clarity ... It can be difficult for beginners to compare the results obtained during the analysis with the graphical representations of the market. As a result, trading errors often occur.

A trader who uses fundamental analysis, forced to keep abreast of all events ... At the same time, it is important to keep track of not only economic news, but also industry, world, and politics. In this case, one cannot do without basic knowledge of all these economic sectors.

Features of technical analysis

Technical analysis is working with graphical display of prices... Hence it follows main advantage (+) – visibility ... Many people find this type of analysis much easier to master. All the necessary tools are already built into the terminal, so there is no need to waste time looking for information.

Among cons (-) technical analysis the main one is subjectivity - each trader interprets the information displayed on the chart in his own way. Moreover, technical analysis does not allow us to understand why this or that movement occurs.

Having studied the pros and cons of each analysis method, each trader can determine the most preferable one for himself. At the same time, professionals recommend using them In total, because usually they do not contradict each other.

Fundamental analysis allows you to determine the main trend, the confirmation of which can be found in the technical. Thus, the combination of the two types of analysis allows you to get a more complete picture of the market, to use the maximum chances for making a profit.

Question 5. What to choose - the Russian stock market (RF) or the American (USA) for trading?

The development of the Internet has allowed traders to trade on the securities market, the stock market of almost any country. In this regard, they often ask themselves the question, which market to choose .

Most often, Russian traders consider two alternatives - Russian and American securities markets... To determine, you should consider the benefits of each of them.

Advantages of the Russian stock market:

1. Small amount to enter. You can start trading on the Russian market with 10 000 rubles, although in this case there will be a fairly high commission in percentage terms. You can start getting profit by investing fifty thousand rubles. At the same time, in brokerage companies that allow Russians to trade on the American stock exchange, the entry threshold is much higher - 5-10 thousand dollars.
2. Fast start. To conclude an agreement, deposit money into the account and start working on the Russian market, it is enough one or two days. It will take at least a week to enter the American market. Approximately the same terms apply for withdrawing funds.
3. The fees are lower. If a trader decides to work on a Russian exchange, he will be charged a commission from the Russian broker and the exchange. If you want to trade on the American stock exchange, you will need to pay the commissions of the American stock exchange and two brokers - domestic and foreign.
4. No language barrier ... Despite the fact that when working with the American exchange, a trader interacts only with Russian brokers, he will have to look for information for analysis on English-language sites.
5. Governmental support. Since 2015, investing on the Moscow Stock Exchange has made it possible to return income tax in the amount of 13 % of the investment amount. Investments in the amount of four hundred thousand rubles fall under the privilege.

The work of Russian traders in the American market also has a number of advantages:

1. The diversification possibilities are endless. The capitalization of the American market is the highest in the world. Tens of thousands of instruments are traded here (for comparison, there are several hundred in Russia). There is an opportunity to invest practically in any industry.
2. The American economy is still the strongest in the world. Securities of the leaders of the world economy are traded on the stock exchange of this country. Among the blue chips, there are, for example, Google and Apple .
3. In the American market, there are stocks of companies that have been growing for decades. An example of such an organization is Walt disney .
4. The ability to combine trading with the main workplace. Major American exchanges are open with 18:30 before 1:00 by Moscow time.
5. The infrastructure of the American market is better developed than the Russian one. The level of analytics is much higher here, the services are more developed, allowing you to make the right decision.

Thus, Russian exchanges are more suitable for novice traders, as well as for those whose capital is limited to one million rubles.

After the basics of the exchanges become clearer, and the amount of investment increases significantly, you can safely enter the American market. Moreover, it is possible to combine work in two markets in order to diversify risks.

10. Conclusion + related video 🎥

In this publication, we have tried to highlight the issues of work in the stock market as much as possible. For the convenience of traders, we told you how to start trading on the stock exchange, gave advice that will help you achieve stable profits.

Moreover, we compared the most popular brokers, as well as the types of analysis of the securities market.

So that you do not have to look for useful information on other resources, we have tried to answer the questions that most often arise among novice traders and novice investors.

And a video on the topic "Trading platforms for trading - what it is and how it works + an overview of the most common terminals":

The team of the magazine "RichPro.ru" hopes that this material was useful, expanded knowledge about the securities market and the basics of exchange trading. We wish you good luck in all your endeavors!

P.S. If you have any comments or questions on the topic, then ask them in the comments below.