The stock market, also referred to as the equity market or share market, is a dynamic platform where investors buy and sell ownership stakes (shares) of publicly-traded companies. It serves as a crucial component of the financial system, enabling companies to raise capital for growth and providing investors with opportunities to invest in and potentially profit from the performance of these companies.
Through stock exchanges, such as the New York Stock Exchange (NYSE) and NASDAQ, the stock market facilitates the exchange of securities, price discovery, and liquidity for investors worldwide.