ZIMSEC O Level Commerce Notes: Business Organisations: People on the Zimbabwe Stock Exchange
The stock broker
- an agent/middleman between members of the public and the stock jobber.
- Buys and sells existing shares on behalf of the public.
- Gets the best prices for clients
- Advises clients on market conditions.
- Arranges payment for shares traded.
- Arranges transfer of share certificates.
- Drafts a contract note.
The stock jobber
- A trader/merchant/wholesaler who buys and sells shares, stocks and bonds as well as other second hand securities.
- Trades in special types of shares e.g. shares in the financial sector.
- Deals directly with stockbrokers rather than with members of the public.
- Works on the Stock Exchange floor.
- Displays share prices.
- Earns a jobber’s profit which is the difference between the selling and buying price of securities.
Speculators on the Stock Exchange
- Anticipates that share prices will fall and therefore sells the shares they have in their possession in order to buy them later.
- A bearish market occurs when share prices are falling in general.
- Anticipates share prices will go up and buys some shares now in order to sell them later.
- A bullish market occurs when share prices are rising in general.
- Buys all new shares of a company which have not been bought by members of the public.
To access more topics go the Commerce Notes page.
Quick NetOne, Telecel, Africom, And Econet Airtime Recharge
If anything goes wrong, click here to enter your query.