The second edition of the popular How The Stock Market Works updates and expands its solid introduction to Wall Street for individual investors and beginning financial professionals alike. This primer explains the workings of the securities industry as a whole, including the initial public offering (getting the stocks to the marketplace), types of stocks, who's who inside the brokerage firm, executing orders on the Exchange floor, the role of the specialist, the over-the-counter market, back office operations (buy/sell and processing procedures), and the major theories of market analysis. The second edition has six new chapters, covering why individuals and institutions buy stocks: dividends and capital gains, risks and rewards; how to read the financial press ... stock symbols, dividend, yield, P/E ratio; closed-end and open-end funds ... how mutual funds are priced, bought and sold ... figuration of net asset values and offering prices; stock options ... puts and calls ... leverage ... time value and intrinsic value ... options as hedging tools; how to understand a corporate balance sheet and income statement; and how dividends and capital gains are taxed.
- ISBN10 0134350820
- ISBN13 9780134350820
- Publish Date 24 June 1988
- Publish Status Out of Print
- Out of Print 24 October 2009
- Publish Country GB
- Publisher Longman
- Imprint Longman Higher Education
- Format Paperback
- Pages 220
- Language English