Stock Exchanges

Stock Exchanges are registered and regulated in terms of the Stock Exchanges Control Act, 1985 (Act No. 1 of 1985).A stock exchange is an organised market for the buying and selling (also referred to as trading) of securities listed on the exchange. As the name suggests, it was mainly intended for the trading of ordinary and preference shares of companies. Today, exchanges offer more than the trading of ordinary and preference shares and are referred to as securities exchanges. Exchanges now provide for the trading of bonds and derivatives, among others. Exchanges started off as floor trading and used an open outcry system, but nowadays, they use electronic systems.