You might see journalists on TV reporting from the Frankfurt Stock Exchange about stock prices, the DAX®, or economic news. But what exactly is a stock exchange, and what does it do?

Think of the stock exchange as a big, organized marketplace where people buy and sell stocks and other securities. Just like a regular market where you buy and sell goods, the stock exchange works on supply and demand to set prices. In the past, trading happened face-to-face on the trading floor. Now, it’s mostly done electronically. This virtual marketplace connects buyers and sellers from all over the world, making it easier to trade large volumes of stocks quickly and fairly.

How Trading Works

When you buy or sell stocks, you usually don’t deal directly with the other person. Instead, intermediaries like banks and brokers handle the transactions. Thanks to technology, even private investors can trade stocks online, with their orders going straight into the trading system.

The stock exchange is all about fairness and transparency. It’s regulated by laws to ensure everyone is treated equally. In Germany, the Frankfurt Stock Exchange is overseen by the Hesse Ministry of Economics and other authorities to make sure everything runs smoothly.

The Role of Deutsche Börse AG

Deutsche Börse AG operates the Frankfurt Stock Exchange. They don’t trade stocks themselves but provide the infrastructure, set the rules, and monitor trading to ensure everything is fair and transparent.

Deutsche Börse Website

Key Tasks of the Stock Exchange

• Provide a regulated and controlled place for trading.
• Match buyers and sellers.
• Ensure transparency and fairness.
• Publish market data like prices and sales figures.
• Help companies raise money by selling stocks.

How to Trade

To trade on the stock exchange, you need an account with a bank or broker. You can read more on the topic here (https://www.boerse-frankfurt.de/en/know-how/about/was-sind-wertpapierboersen)

The Learning Platform: A Simulated Investment Game

Before diving into the real world of stock investing, consider using a simulated stock exchange game. These games provide a safe and controlled environment to:

• Familiarize yourself with different types of security
• Gain experience with placing buy and sell orders
• Understand how market movements affect financial product prices
• Test out various investment strategies

We are excited for you to give it a go! If you have not yet had a chance to register, here is the link to download the mobile application:

As you begin your journey, do not forget to share your impressions with us on social media 😊

Our channels:
 

For more information on the game, click here.