The history of the stock market is quite extensive though the stock market history was originally called speculating and had several different names. Probably the very first stock brokers were found in the 12th century when the French where attempting to regulate debts that was associated with agriculture during this time period. However there was no formal trading house where these debt traders met until sometime during the 13th century.

The very first government securities were not traded until the 13th century in Venice. Several other cities in Italy also had success with government securities because these cities were not government by a duke but by a council. In many other places in Europe government securities could not be traded due to the present type of government.

The very first stock sold to a shareholder was stock for the Dutch East India Company and it was available in 1602. The Dutch East India Company functioned from the Amsterdam Stock Exchange which was the first exchange to offer public stocks for sale. This meant that anyone with stock would share in that company’s prosperity or loses.

The Amsterdam Stock Exchange was really the first stock market in the world and it was here that option trading, debt equity swaps, short selling, speculative instruments, merchant banking and unit trusts all developed. They also were the first to offer bonds and having continuous trading.

Since this first investing market many developed countries have opened their own stock markets such as the United Kingdom, China, Canada, the Netherlands, the United States, France, Japan, India and Germany.

The stock market was crucial for business to expand as it was a fast way to gain capital. However there is always risk with investments as the expansion may not be a success. The market is one of the most liquid investing markets as you can make or lose money very fast when compared to other markets.

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