This stock has a history of nearly 400 years. The earliest stock market came into being in 1602, when both the Netherlands and Britain established overseas trading companies. These companies were established by raising share capital and have obvious characteristics of joint-stock companies: they have legal person status: the board of directors was established; The shareholders' meeting is the highest authority of the company; Dividend by share; Implement a limited responsibility system.

The successful operation and rapid development of joint-stock companies have led more enterprises to follow suit and set off a wave of establishing joint-stock companies in the Netherlands and Britain. By 1695, about 100 new joint-stock companies had been established in Britain.

The stock market is the place where issued stocks are transferred, traded and circulated, including exchange market and OTC market. Because it is based on the distribution market, it is also called the secondary market. The structure and trading activities of the stock market are more complicated than the issuance market (primary market), and its role and influence are also greater.

Extended data:

By issuing stocks, a large amount of capital flows into the stock market and enterprises that issue stocks, which promotes the concentration of capital, improves the organic composition of enterprise capital and greatly accelerates the development of commodity economy. On the other hand, through the circulation of stocks, a small amount of funds will be collected to accelerate the concentration and accumulation of capital.

Therefore, on the one hand, the stock market provides a basic place for the circulation and transfer of stocks, on the other hand, it can stimulate people's desire to buy stocks and provide guarantee for the issuance of the primary stock market. At the same time, because the transaction price of the stock market can objectively reflect the relationship between supply and demand in the stock market, the stock market can also provide reference for the stock issuance in the primary market in terms of price and quantity. The function of the stock market reflects its nature.

Baidu encyclopedia-stock market