Stock exchange

A stock exchange is a marketplace where shares of publicly listed companies are bought and sold. The New York Stock Exchange and the Nasdaq are the two largest in the United States, and most countries have at least one exchange of their own.

A company lists its shares on an exchange through an IPO, and from that point its stock price is set continuously by the trades happening on that exchange. Exchanges are regulated venues with listing requirements companies must meet and maintain, which is part of what gives investors confidence that trading on them is fair and transparent.