What do the people who go in person to the New York stock exchange actually do? Especially with online trading and information everywhere?
In: Economics
It’s like if the stock exchange was a restaurant, online day trading would be people coming in booking a table for two for a quick lunch. No special concessions required, no additional help.
Now say you want to host a party in that restaurant with potentially hundreds of guests. Well that takes time and active effort. You need everyone involved to agree on when to meet, the details of the party, how it’s going to be funded etc.
It will also have an impact on the restaurant. That many people showing up for a big event will affect the layout of the restaurant, which seats are more desirable, the party may reserve items on the menu so there won’t be any left for other people, which will also affect the desirability of other items on the menu.
For a task this large it very much helps to get an event planner to organise the party and help the restaurant get set up, make sure they get their money and the guests are all happy, and to maybe research any issues this disruption may cause to other customers.
The stockbroker is basically the event planner. Organising and processing huge trades and calculating the effect this amount of money changing hands will have on other stocks in the space.
Latest Answers