Global Exchanges
Many exchanges are located throughout the world, including:
- The Shanghai Stock Exchange (SSE) is the largest in mainland China. Many investments are traded on the exchange, including stocks, bonds, and mutual funds.18 The Shenzhen Stock Exchange (SZSE) is the second-largest stock exchange operating independently in China.19
- Euronext is Europe’s largest stock exchange, and although it has undergone multiple mergers, it was initially formed by the mergers of the Amsterdam, Paris, and Brussels stock exchanges.2021
- The London Stock Exchange (LSE) is located in the United Kingdom.
- Within the LSE is the Financial Times Stock Exchange (FTSE) 100 Share Index. The “Footsie” contains the top 100 well-established publicly traded companies or blue-chip stocks.
- In 2024, India surpassed Hong Kong as the fourth-largest stock market in the world by market capitalization.22
What Is the Difference Between Stock Exchange and Stock Market?
A stock exchange is a marketplace or the infrastructure that facilitates equity trading. On the other hand, a stock market is an umbrella term representing all stocks that trade in a particular region or country. A stock market is often represented as an index or grouping of various stocks, such as the S&P 500.
What Is the Purpose of a Stock Exchange?
A stock exchange brings companies and investors together. A stock exchange helps companies raise capital or money by issuing equity shares to be sold to investors. The companies invest those funds back into their business, and investors, ideally, profit from their investment in those companies.