Function of Stock Exchange

Very Easy Equity Markets And Instruments Stock Exchanges

In the context of financial markets, stock exchanges play a crucial role in facilitating the buying and selling of equity securities. A stock exchange is an organized marketplace where securities are traded, providing liquidity and pricing for shares of publicly listed companies.

Please select the option that best describes the main function of a stock exchange.

To primarily facilitate mergers and acquisitions between companies.

To provide a venue for the buying and selling of publicly listed securities.

To issue new equity securities directly to investors.

Hint

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