Who Regulates the Stock Market

The New York Stock Exchange may have stocks listed that are listed on other major Stock Markets. A company headquartered in Amsterdam may be listed on multiple stock exchanges. Many foreign organized companies are listed on the New York Stock Exchange.  There is a tremendous value for foreign companies to be listed on an exchange in the U.S. The exposure and knowledge of a foreign company has a face on the New York Stock Market.

Any investor wherever located may hold a substantial stake in any given equity no matter where the equity is traded.  The Stock Market is a very large private club that anyone can join with the only admission ticket is the price of a single share of stock.  

In the United States the New York Stock Market is comprised of the NASDAQ, NYSE and the newly created combination of the NYSE Group with Euronext in April, 2007. The Euronext holding company is a phenomenal synergy between Paris and the NYSE whose history goes back to 1792.

The stock broker

A stock broker must be qualified to sell equities.  In order to be certified the stock broker must be educated and pass state administered tests.  Aside from the basic minimum qualifications a stock broker has a track record in his or her handling of stock portfolios. 

The stock broker is like any professional you would hire to perform a service. You are interviewing a candidate who will not only advise you on stocks and other investments, but someone who will take your personal welfare above all other considerations. Have a discussion with several candidates on the phone. The next step is to come up with a short list and have a personal meeting with the candidate stock broker. 

The broker selection points

- Hiring a friend that is a stock broker can be problematic if a disagreement occurs.

- Does the candidate stock broker provide you with insight into his or her investment strategy.

When the candidate stock broker is speaking to you does he or she gloss over information or do you get the impression it is a sales pitch. Every stock broker is a sales person, but there are limits in this field.