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Morningstar

NYSE

River Meng

What is the NYSE?

Founded in 1792 by 24 stockbrokers, the New York Stock Exchange is the largest stock exchange in the world. It is located on Wall Street in New York City and is commonly referred to as “the Exchange.”

  • The NYSE is the largest equity-based exchange market in the world.
  • The NYSE uses an auction method to set the opening and closing prices.

Currently, the NYSE is by far the largest equity-based exchange market in the world by the total market cap of securities listed, followed by Nasdaq and Shanghai Stock Exchange.

Although run as a private company for centuries, NYSE became a publicly traded company in 2006 after its merger with Archipelago and the Pacific Exchange. It has remained public since.

In order to set the opening and closing prices, the NYSE uses an auction method, which depends on the law of supply and demand and actively involves human traders representing investors.