David Nelson of Nelsoncorp Wealth Management Visits New York Stock Exchange

David Nelson of NelsonCorp Wealth Management visits New York Stock Exchange

David Nelson, CFP®, CLU, ChFC, President of NelsonCorp Wealth Management recently received an invitation only offer to visit the New York Stock Exchange. While he was in New York, David was able to observe the intricate details of how the stock exchange works and witness the frenzy of a trading day. He was also part of an elite group of wealth consultants who were invited to dine in the exclusive New York Stock Exchange board room.

The origin of the NYSE can be traced to May 17, 1792, when the Buttonwood Agreement was signed by twenty-four stock brokers outside of 68 Wall Street in New York under a buttonwood tree. On March 8, 1817, the organization drafted a constitution and renamed itself the "New York Stock & Exchange Board".

The NYSEtrading floor is located at 11 Wall Street, and is composed of five rooms used for the facilitation of trading. The main building, located at 18 Broad Street between the corners of Wall Street and Exchange Place, was designated a National Historic Landmark in 1978.

Nicknamed the "Big Board", the NYSE is the largest stock exchange in the world by dollarvolume and the second largest by number of companies listed. Its share volume was exceeded by that of NASDAQ during the 1990s. The New York Stock Exchange had a global capitalization of $25.0 trillion as of December 31, 2006.

The New York Stock Exchange provides an efficient method for buyers and sellers to trade shares of stock in companies registered for public trading. The exchange provides efficient price discovery via an auction environment designed to produce the fairest price for both parties. On the trading floor, the NYSE trades in a continuous auction format. Here, the human interaction and expert judgment as to order execution differentiates the NYSE from fully electronic markets. There is one specific location on the trading floor where each listed stock trades. Exchange members interested in buying and selling a particular stock on behalf of investors gather around the appropriate post where a specialist broker acts as an auctioneer in an open outcry auction market environment to bring buyers and sellers together and to manage the actual auction. The frenzied commotion of men and women in colored smocks has been captured in several movies, including Wall Street.

NelsonCorp Wealth Management has offices in Clinton and Davenport.

Securities offered through Cambridge Investment Research, Inc., a Broker/Dealer, Member FINRA/SIPC. Advisory Services Offered Through Cambridge Investment Research Advisors, Inc., a Registered Investment Advisor. NelsonCorp Wealth Management and Cambridge are not affiliated.