Introduction
The NASDAQ, second largest stock market in terms of market capitalization is just behind the New York Stock Exchange. It is situated in Manhattan City near Times Square. It is close to Times Square in New York City. Investors will find this post useful information about how to invest on it.
History NASDAQ
1971 is the year the NASDAQ created the first worldwide electronic stock markets. Stock market trading used to occur on a physical trading platform. Prior to the NASDAQ, computers were used to speed up stock trading.
Initially NASDAQ housed mainly small technology-oriented firms and weren’t listed at NYSE. Eventually however, large corporations began to list on NASDAQ. These companies include Alphabet (Amazon), Apple, and others.
How NASDAQ Works
The NASDAQ Stock Exchange is a stock exchange where buyers can trade shares of publicly-traded companies. All trading is done electronically and not on the physical trading floor.
Usually, investors use a broker when they want to buy or sell shares of NASDAQ. The exchange matches buyers/sellers based upon price and quantity.
Stocks can be purchased and sold online by investors from the NASDAQ market. Prices change based off supply/demand.
Top Company on NASDAQ
NASDAQ is home of many of the most innovative businesses around the globe. Below is a list with some of the most notable companies trading on this stock market.
Apple: Apple is the world’s largest company with a total value of more $2 trillion.
Microsoft (MSFT). Microsoft (MSFT), a tech giant with an estimated $1.8 trillion market capital, is also available.
Amazon is the e-commerce kingpin with a market valuation of more than $1.5 Trillion.
Alphabet (GOOGL), Google, is the parent company. The market cap for Alphabet (GOOGL) is over $1.4 trillion.
facebook (FB): The social media giant boasts a $800 billion valuation.
As can be seen, the NASDAQ contains some of most valuable and biggest companies in the globe. This provides investors with an extraordinary opportunity for high growth companies.
What Investors Should Know
This is a list of important things you should remember if your goal to invest in NASDAQ. Investing with stock markets can be risky. You may lose your money.
NASDAQ stock prices are more volatile then NYSE. This could mean that investors may face both risk or opportunity depending on what investment goals they have.
It is important to do your research before investing in any firm.
Spreading your investments could help lower your risks. Spreading your risk can help you make more money over the long-term.
Investors also need to think about fees.
Your broker will charge you a fee to allow you to trade stocks at the NASDAQ.
These fees can have an impact on your long term returns.
Keep in mind, brokers might charge extra fees to keep the account current.
You should know everything you can about investing.
Conclusion
NASDAQ is a worldwide-recognized stock exchange platform. Investors who are looking for high growth opportunities will love the NASDAQ.
However, investing in NASDAQ has its risks. You need to do your research to determine if there are any risks.
