What are the functions of a stock market?
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Answer:
A stock market is a market for the trading of company stock, and derivatives of same; both those securities listed on a stock exchange as well as those only traded privately
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It allows people to own and buy/sell portions of companies.
The basic functions of a stock market are to allow buyers the opportunity to own a share of a company and to allow sellers such as companies and mutual funds to raise money for capital investment. Here's a link to tell you more...good luck.
The primary markets (i.e. IPOs) allow firms to raise capital from the sale of stocks. The secondary markets (such as any stock exchange) allows investors to acquire shares of corporations. The secondary markets also provide feedback to the firms as to how risky they are percieved to be and what their cost of capital is.
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