Stock Market

The stock market facilitates the trading of stocks/shares between buyers and sellers. The Stock Exchange is the governing body that overseas and regulates the activities of the stock market. Companies that wish to obtain capital to expand may offer shares for sale on the stock market. It is therefore essential to the expansion of businesses in an economy. It provides a form of investment for persons who are very speculative and will buy stocks for resale at higher anticipated prices.

Types of speculators/stock market investors

These are speculators who sell securities because they expect the price to fall soon. A bear market is a stock market that is slow moving i.e. investors are not keen on buying stocks.

These are speculators who buy securities because they think the price will rise soon. A bull market that is very active with high interest in the buying and selling shares.


Stags are short term speculators. They are also known as day traders. They carefully watch the movement of stock prices and buy stocks with the intention of quick resale for profits.

Cross List

Cross listing occurs a company lists shares on more than one stock exchange. It not only lists stocks for sale on the exchange in the country which it operates but also on other exchanges.

Stock Broker

This is someone who is authorized to buy and sell shares. Persons wishing to buy or sell shares must contact a stock broker who will buy or sell shares on their behalf

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