MEPX
Chapter 2 of 12All chapters
  1. 1What a share is
  2. 2Exchanges and brokers
  3. 3How a price is set
  4. 4Order types
  5. 5What it costs
  6. 6Reading a company
  7. 7Dividends and returns
  8. 8Indexes and funds
  9. 9Risk and diversification
  10. 10Market cycles
  11. 11Psychology and mistakes
  12. 12Learning further

Chapter 2 of 12

Exchanges and brokers

Who stands between you and the market.

The venue

An exchange is a regulated marketplace that matches buyers and sellers and publishes the prices. Companies listed there must report their finances on a schedule.

  • A broker is the account you actually use, and it sends your order to a venue.
  • Listing rules and reporting are what separate a public company from a private one.

Hours and holdings

Most exchanges trade during set hours in their own time zone, with thinner trading before and after. Your broker holds the shares on your behalf, so their regulation and protections matter.