Maxim Bederov – Stock market history – How did the first financial market come about?From films, books or even a personal visit you will know the function of the stock exchange. What is really behind the hustle and bustle of the stock market, however, and how it came about historically, is what you will learn today in this article.
How it all began
For this we start in the beautiful small town of Bruges in Belgium. A merchant named Van der Beurze lived there. The business he ran there was extremely successful and grew over the years into one of the largest trading centres in Europe. He even provided storage space for securities in his business premises. Although his business was not yet a stock exchange in the official sense, he already offered his customers the same functions.
The foundation of the first official stock exchange
While he was still considered a pioneer, he soon founded the first official stock exchange in Antwerp. The main purpose was to buy and sell securities issued by governments in various cities and countries. Soon, however, it offered traders a much wider range of opportunities, as all other goods delivered to the city by sea could also be traded.
The first speculations
The first speculators then developed while trying to predict the weather and thus also the goods receipts, which strongly influenced the price level. After a major economic crisis in Antwerp in 1550, years later the scene shifted towards Amsterdam. The oldest active stock exchange still exists here today. Of course, other countries around the world followed suit as well. Today almost every country has a stock exchange. From New York with the largest market, NYSE Euronext, to Russia with the Moscow Stock Exchange. What do you think about almost every country having its own stock exchange? – Maxim Bederov