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Get Started in Shares by Glen Arnold

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chapter 6

What do stock markets do?

One of the very nice things about investing in the stock market is that you learn about all different aspects of the economy. It’s your window into a very large world.

Ron Chernow

Stock markets are not casinos, despite them often being portrayed as such. Many participants in the stock markets are looking for short-term speculative gains, but most are genuine long-term investors. Stock markets facilitate the raising of money by companies, not least by providing a market place for sales of shares between investors.

The recent growth of exchanges in China illustrates the reasons why such markets are so important. Here is a communist government placing a very high priority on the raising of private capital. ...

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