About Lesson
Early Beginnings
- The concept of stock market dates back to the 1600s with the establishment of the East India Company.
- This allowed investors to pool resources and share the risks and rewards of trading ventures
- The stock market was devised to facilitate the buying and selling of shares in companies, allowing businesses to raise capital and investors to share in the profits and growth of those companies.
Key Reasons for Stock Markets
- Capital formation
- Risk distribution
- Liquidity
