Key Participants in global stock market
The key participants in the global stock market include:
✤ Retail Investors:
☛ Individual investors who trade stocks through personal accounts.
✤ Institutional Investors:
☛ Large organizations managing significant funds, such as: Mutual Funds, Pension Funds, Hedge Funds, Insurance Companies
✤ Corporations:
☛ Companies that issue shares to raise capital or buy back their own stock.
✤ Stock Exchanges:
☛ Platforms where stocks are bought and sold (e.g., NYSE, NASDAQ, LSE, Tokyo Stock Exchange).
✤ Brokerage Firms:
☛ Intermediaries that facilitate trading for investors, offering platforms and research tools.
✤ Market Makers:
☛ Firms or individuals ensuring liquidity by buying and selling stocks at quoted prices.
✤ Regulatory Bodies:
☛ Organizations overseeing market operations and ensuring fairness (e.g., SEC in the U.S., SEBI in India).
✤ Central Banks:
☛ Indirectly influence markets through monetary policies, interest rates, and liquidity management.
✤ High-Frequency Traders (HFTs):
☛ Firms using algorithms to execute trades rapidly, often contributing to market liquidity.
✤ Foreign Investors:
☛ Global participants investing in foreign markets for diversification and growth opportunities.
✤ Credit Rating Agencies:
☛ Organizations like Moody’s or S&P that provide risk assessments affecting stock prices.
