Stock exchange is a legal entity created as a joint stock company for organizing and managing the regulated markets with a stock exchange license.
The functions of the stock exchange are the following:
1. Ensuring fairness and transparency of trade;
2. Enabling its members to participate directly or indirectly in trade in line with its internal rules;
3. Organizing the trading of securities and derivatives;
4. Operation and support of trading systems;
5. Organizing the public offering and settlement of securities;
6. Identifying the requirements for derivatives, securities and their issuers which are accepted for trading on stock exchange;
7. Providing its members with an access to trading systems;
8. Monitoring of transactions in the trading system;
9. Monitoring of financial status of its members regarding their activity on the stock exchange;
10. Other duties defined by the legislation and the internal rules of the stock exchange.
Currently, there are number of stock exchanges around the world. New York Stock Exchange, NASDAQ, Tokyo Stock Exchange, London Stock Exchange and Shanghai Stock Exchange are the largest ones.
Baku Stock Exchange is an only stock exchange operating in Azerbaijan.