How Stocks Trade: most stocks are traded on
exchange, which are places where buyers and sellers meet and decide on a price.
Some exchange are physical locations where transactions are carried out on a
trading floor. Two trading floor are located in Bangladesh, DSE which is
located in Dhaka, CSE is located in Chittagong. Chittagong stock exchange is
expanded to compose of a network of computers where trades can be made
electronically. We should distinguish between the "primary" and
"secondary" market. The primary market is the first phase of stock
where securities created before trading at the floor which is called IPO. In
the secondary market, investors trade previously issued securities without the
involvement of the issuing companies. The secondary market is what people are
referring to when they talk about "the stock market."
