Virtual Stock Market

About Stocks

In financial markets, stock is the capital raised by a corporation through the issuance and distribution of shares.

A person or organization which holds shares of stocks is called a shareholder. The aggregate value of a corporation's issued shares is its market capitalization.

Types of Stock

• Common Stock
• Preferred Stock
• Dual Class Stock
• Treasury Stock

Stock Derivatives
A stock derivative is any financial claim which has a value that is dependent on the price of the underlying stock. Futures and options are the main types of derivatives on stocks. The underlying security may be a stock index or an individual firm's stock, e.g. single-stock futures.

Trading
A stock exchange is an organization that provides a marketplace (either physical or virtual) for trading shares, where investors (represented by stock brokers) may buy and sell shares in a wide range of companies. A given company will usually list its shares in only one exchange by meeting and maintaining the listing requirements of that particular stock exchange.

Although it makes sense for some companies to raise capital by offering stock on more than one exchange, in today's era of electronic trading, there is little opportunity for private investors to make profit on pricing discrepancies between one stock exchange and another.