DEFINITION of 'National Stock Exchange'

The first stock exchange in America that was completely electronically automated. All members of the exchange are registered broker-dealers. This exchange created the National Securities Trading System (NSTS), which performs all auction market tasks on an automated basis.

BREAKING DOWN 'National Stock Exchange'

The National Stock Exchange was originally founded in Cincinnati in 1885. It was formerly known as the Cincinnati Stock Exchange, but moved to Chicago in 1995 and changed its name in 2003. The National Stock Exchange can also refer to stock in India or Australia.

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RELATED FAQS
  1. What does it mean when my broker says that shares are for auction?

    An auction market is one in which stock buyers enter competitive bids and stock sellers enter competitive offers at the same ... Read Answer >>
  2. Why are traders on the floor of the exchange?

    Before the advent of electronic trading platforms, the floor of the stock exchange was the location for market transactions ... Read Answer >>
  3. What are all of the securities markets in the U.S.A?

    There are three major U.S. financial securities markets which are: New York Stock Exchange (NYSE): NYSE is a stock exchange ... Read Answer >>
  4. How does a company switch from one stock exchange to another?

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  5. Can stocks be traded on more than one exchange, such as, for example, on both the ...

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