The stock market is the basically public market in which the stocks of the companies are traded. The U.S stock market is the largest and most active stock market in the world. There are two types of the stock markets: one is organized security exchanges and another one is over the counter markets. The New York Stock Exchange (NYSE) is the largest stock market in the world in which there is the combination of the organized security exchange and over the counter markets trading on the floor. This is in contrast to the (NASDAQ) or National Association of Securities Dealers Automated Quotations which is strictly electronic. Moreover, the NASDAQ is known as a dealer's market, wherein market participants are not buying from and selling to one another directly but through a dealer. The NYSE is an auction market, wherein individuals are typically buying and selling between one another and there is an auction occurring.
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There are many ways to invest the money in the purchase of the bonds which is called fixed income securities. Bonds are the reliable investment in which you get back interested and the principle amount. There is a downside factor which is that the return on bonds is very small. The other way to invest your money is stocked which can be purchased from the different stock exchanges NASQAD or NYSE. The purchase of the stocks makes you the owner of the company according to the share of your purchasing stocks of that company. You gain the profits when the company generates the profits and your share becomes higher when the company generates high profits. The negative side of such investment is the unreliability of the stocks. You may also face the loss of no dividend if there are small returns generated by the