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please refer to below for my questions many thanks.?

Toronto Stock Exchange - The Canadian Stock Market

please refer to below for my questions many thanks.?

Postby wilmer » Tue Dec 04, 2012 6:29 pm

just like to learn on how the stock markets operate, achieve results , those figures like it closes 200 up is that in millions of £ and finally what makes a company to fold when bad results are given.
wilmer
 
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Joined: Thu Oct 04, 2012 8:08 am

please refer to below for my questions many thanks.?

Postby porter49 » Tue Dec 04, 2012 6:36 pm

just like to learn on how the stock markets operate, achieve results , those figures like it closes 200 up is that in millions of £ and finally what makes a company to fold when bad results are given.
Heh! Don't panic! Just learn a few common definitions and put them together.

Stock market figures are not quoted in currency such as pounds or dollars. They are quoted in points, and the meaning of the points is unique to each different kind of stock index. Comparing one stock index to another is like comparing apples and oranges. Although they have a number of common characteristics as types of fruit, they have some basic differences and cannot be regarded as the same. It is also worthwhile to remember that the stock markets are not the banks and are not the governments. They do not represent the total financial picture, only a part of it. Many companies that are regarded as sound are not on the stock market at all. A potential businessperson has the option of taking a bank loan or of looking for shareholders with money to invest, when he or she sets out to establish a company.

I hope the following definitions will be helpful to you.


An index (or stock index) is an unmanaged selection of securities whose collective performance is used as a standard with which to measure investment results. Some commonly-known indexes are the Dow-Jones Industrial Average, the NASDAQ, Standard and Poor’s 500, the TSX and the Wilshire 5000.

The Dow-Jones Industrial Average is maybe the best known major stock index. It is also the oldest and most widely quoted one. The Dow-Jones Industrial Average is a price-weighted average of 30 actively traded blue chip (high value) stocks, primarily industrial but also including the American Express Company and the AT and T Company. It is quoted in points and not in dollars. It is calculated by adding the closing prices of the component stocks and using a special divisor that is adjusted for a variety of factors such as the size of the splits and dividends as well as substitutions and mergers. It is calculated according to closing prices at the end of the day. It is based on Dow-Jones Theory. Dow-Jones Theory is based on the notion that any upward or downward trend in activity depends on, or is correlated with, movements in the industrial, transportation and utilities sectors. it seem logical. A lot of people rely on the Dow-Jones Industrial Average, because, to them, Dow-Jones Theory makes good common sense.

The NASDAQ Composite Index also is widely-quoted. NASDAQ is an acronym for the National Association of Securities Dealers Automated Quotation. Unlike, the Dow-Jones Industrial Average index, the NASDAQ index is market-value weighted. Each company’s securities therefore affects the Index in proportion to its sale price multiplied by total shares outstanding. It is calculated throughout the day and is related to the total value of the Index. The NASDAQ includes over 5,000 companies, more than any other stock market index. Because it is broad-based, it is widely followed. The number used in conjunction with the name of the index indicates the number of companies that is being taken into consideration by the index. If the NASDAQ Index is referred to as the NASDAQ 500, for example, the number 500 indicates the number of companies that have been used in the calculations.

The Standard and Poor’s Index, also known as the S&P, is distinguished from the other indexes mainly by the fact that it is “cap-weighted”. “Cap-weighted” is short for ‘capitalization weighted”. It means that certain companies are weighed in more times than others. It works rather in the same way that a weighted academic average would work. It follows in the style used by many European stock exchanges. As with the Nasdaq index, the number used in the name indicates the number of companies that is being calculated into it. For example, it could be listed as the S&P 500 or as the S&P 200.

The TSE index, standing for Toronto Stock Exchange index, is Canada’s form of the S&P 500. The TSX stands for the Toronto Stock Exchange, Canada‘s largest stock exchange.



Bear investors are those who believe that prices are about to decline and therefore make consevative choices. Bull investors are optimists who expect prices to rise and therefore tend to buy a lot of stock at a fast rate.

Stock holders are given the option and right to buy, or to call, or the option and right to sell, or put, a specified amount of a security at a specific price within a given amount of time.
porter49
 
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Joined: Tue Jun 26, 2012 4:55 am

please refer to below for my questions many thanks.?

Postby macalister » Tue Dec 04, 2012 6:43 pm

put your question in the economics section, you might get some answers there.. this one is about languages!
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