Investing 
27
comments

50 Fun Facts About The Stock Market

Email  Print Print  

Everyone knows about the great crash in 1929, how we first coined the term Black Thursday (Oct 24th), Black Monday (Oct 28), and Black Tuesday (Oct 29)… but did you know that the Dow Jones Industrial Average wouldn’t recover to the 1929 peak until 1954? It took twenty-five years. Given the recent volatility and how records are being broken (Dow’s largest single day loss of 777.68 just two weeks ago was eclipsed yesterday by the largest single day gain of 936.42 points), I thought it would be appropriate to fire off some more stock market trivia facts.

Is the bull zigging today, or is he zagging?

Stock Market Bull

    Wall Street Firsts

  1. Wall Street was laid out behind a 12-foot-high wood stockade across lower Manhattan in 1685. The stockade was built to protect the Dutch settlers from British and Native American attacks.
  2. The “stock market” began in May 17th, 1792 when 24 stock brokers and merchants signed the Buttonwood Agreement.
  3. The buttonwood tree was simply the local name for the sycamore tree.
  4. The first stock ticker was invented by Edward A. Calahan in 1867.
  5. The Securities Exchange Act of 1934 creates the Securities and Exchange Commission, charged with the responsibility of preventing fraud and to require companies provide full disclosure to investors.
  6. Despite the New York Stock Exchange’s notoriety, it was not the first stock exchange in the United States. That distinction belongs to the Philadelphia Stock Exchange, which was founded in 1790.
  7. The Massachusetts Investors Trust was the first official mutual fund, created on March 21st, 1924.
  8. The Wellington Fund, created in 1928, was the first mutual fund to include stocks and bonds.
  9. Wells Fargo Bank established the first index fund in 1971. John Bogle would use it as the basis for building low cost index funds at The Vanguard Group.
  10. The first exchange traded fund, or ETF, was SPDR. It was cretaed in 1993 by State Street Global Advisors and tracks the S&P 500 stock index.

  11. New York Stock Exchange

  12. New York Stock ExchangeThe New York Stock Exchange (NYSE) began in 1817 as the brokers formed the New York Stock & Exchange Board (NYS&EB), renting rooms at 40 Wall Street and adopting a constitution.
  13. The twenty four brokers or firms became the first NYSE members, they were: Leonard Bleecker, Hugh Smith, Armstrong & Barnewall, Samuel March, Bernard Hart, Alexander Zuntz, Andrew D. Barclay, Sutton & Hardy, Benjamin Seixa , John Henry, John A. Hardenbroo , Samuel Beebe, Benjamin Winthrop, John Ferrers, Ephraim Hart, Isaac M. Gomez, Gulian McEvers, Augustine H. Lawrence, G. N. Bleecker, John Bush, Peter Anspach, Charles McEvers, Jr., David Reedy, and Robinson & Hartshorne.
  14. Anthony Stockholm was the first President of the NYSE.
  15. William McChesney Martin, Jr., became the first full time salaried president in 1938.
  16. Originally stocks were traded in what’s known as a “call market.” The President would read out each stock and the brokers would trade them. There was a morning session and an afternoon session.
  17. There are 2,764 listed securities on the exchange.
  18. It is fourth largest in terms of listings behind the Bombay Stock Exchange, the London Stock Exchange, and the NASDAQ.
  19. The NYSE was originally organized at the Tontine Coffee House, located at the northwest corner of Wall and Water Streets, at 82 Wall Street. Business was transacted there until 1817.
  20. The Tontine Coffee House was located across from the Meal Market, where enslaved workers could be hired or bought.
  21. The first listed company on the NYSE was the Bank of New York.
  22. In 1868, there were 533 seats on the NYSE.
  23. There are currently 1,366 seats available on the NYSE.
  24. On December 1st, 2005, the highest price was paid for membership in the NYSE at $4 million.
  25. Thirty days later, December 31st, the NYSE moves away from seats to annual trading licenses.
  26. Muriel Siebert was the first woman to own a seat on the NYSE in 1967.
  27. Joseph L. Searles III was the first African-American member of the Exchange in 1970.
  28. Merill Lynch & Co., Inc. became the NYSE’s first member organization in July 27th, 1971.
  29. The NYSE merged with publicly-traded Archipelago electronic stock exchanged, formed NYSE Group, Inc., and is now publicly traded under the ticker NYX.
  30. The longest period in which the exchange was closed occurred during WW1, when the NYSE was closed for four and a half months starting July 31st, 1914.
  31. The highest price per share stock on the NYSE is Warren Buffet’s Berkshire Hathaway (Class A).

  32. NYSE Volume Growth

  33. The NYSE has its first million share day (where a million shares are exchanged) on December 15th, 1886.
  34. Since October 10th, 1953, there has never been a sub-million share day.
  35. In 1961, the average daily volume of the NYSE breaks 4 million.
  36. Finally, in 1982, the NYSE has its first 100 million share day.
  37. By 1992, the average daily volume exceed 300 million shares.
  38. On October 28th, 1997, over a billion shares are exchanged.
  39. January 4th, 2001 – Volume breaks 2 billion.
  40. On February 27th, 2007, the NYSE has its largest volume day of record at over 4 billion shares.

  41. NASDAQ

  42. NASDAQ in Times SquareThe NASDAQ was created in 1971 and was the first electronic stock exchange, focusing on the trading of OTC stocks.
  43. NASDAQ stands for “National Association of Securities Dealers Automated Quotation.”
  44. 2,500 stocks were traded that first day, February 8th, 1971.
  45. In 1998, the NASDAQ merged with the American Stock Exchange, which focused on options and derivatives, to form the NASDAQ-AMEX Market group but both exchanges still operate separately.
  46. The NASDAQ purchased the Philadelphia Stock Exchange for $652 million on November 7th, 2007.
  47. The highest price per share stock on the NASDAQ is none other than Google.

  48. Dow Jones Industrial Average

  49. The Dow Jones Industrial Average was created by Dow Jones & Company in 1896.
  50. The DJIA breaks 1,000 for the first time in 1971.
  51. The DJIA breaks 5,000 on November 21, 1995.
  52. The DJIA breaks 10,000 (for the first time) on March 19th, 1999 (and it just broke it the other way on October 6th, 2008).
  53. There are thirty companies on the DJIA, with the list constantly being revised. For example, Kraft Foods recently replaced AIG on the index (September 22, 2008).
  54. The oldest DJIA component is General Electric, added in November 7th, 1907.
  55. The newest DJIA component is Kraft Foods, added September 22nd, 2008.
  56. Yesterday (October 13th, 2008) marked the largest single gain of the DJIA of 936.42 points. To put that into perspective, the second largest gain was March 16th, 2000, the peak of the stock market boom, when it increased 499.19 points.
  57. As mentioned earlier, the largest single day drop was 777.68 on September 29th, 2008 when the House rejected the bailout bill the first time through. To put that one into perspective, the second largest drop was on September 17th, 2001, the first full day of trading following the attacks on September 11th. Incidentally, #3 on the big time falls was last Thursday, 10/8/2008, when it fell 678.91. Heck of a ride huh?
  58. Percentage wise though, these spikes and drops don’t break the top five in either category. Four of the top five largest single day gains were in the late 20s to early 30′s (the other one was in 1987). Three of the five largest losses occurred in 1929 (Black Thursday, Black Friday, and Black Monday) taking up spots #2 – #4. #5 was a drop in 1899 and #1 was the 22% haircut that was the Stock Market Crash of 1987. (list of largest daily changes in the DJIA)

If fifty(plus) interesting trivia facts about the stock market isn’t enough, there is a wealth of stock market trivia at Stockmarkettrivia.com.

(Photo: babblingdweeb, brianglanz, victoriapeckham)

{ 27 comments, please add your thoughts now! }

Related Posts


RSS Subscribe Like this article? Get all the latest articles sent to your email for free every day. Enter your email address and click "Subscribe." Your email will only be used for this daily subscription and you can unsubscribe anytime.

27 Responses to “50 Fun Facts About The Stock Market”

  1. Great article! I’ve been in financial services for 5 years and did not know all of those facts.

  2. Hank says:

    Great collection of facts!!!

  3. Dr J says:

    While it is a common point of discussion that it took 25 years to recover from the crash of 1929, this really isn’t entirely accurate.

    The 1929 example, and others like it, foster a giant misconception that colors the decision-making of many investors. Mark Hulbert wrote an excellent article on this subject last year, in which he made several crucial points. One was that looking only at the price of the Dow over those 25 years, rather than its total return, leads to a distorted conclusion:

    “Dividends also played a big role in stocks’ recovery from the 1929 Crash and subsequent bear market. Consider the stock series constructed by Jeremy Siegel, a finance professor at the Wharton School of the University of Pennsylvania, and author of the classic book ‘Stocks for the Long Run’. He shows that, for all intents and purposes, stocks on a total-return basis in late 1936 and early 1937 had risen back to their September 1929 high, before entering into another bear market. This puts the recovery time at a little more than four years from the stock market’s July 1932 bottom.”

    Hulbert went on to point out that the 30 Dow stocks really weren’t representative of the stock market as a whole:

    “It turns out that the particular stocks that were included in the Dow in the 1930s and 1940s performed significantly less well than the overall market. Perhaps the most celebrated example of how unrepresentative the Dow was then: The now-infamous decision Dow Jones & Co. made in 1939 to remove International Business Machines from the list of the 30 Dow stocks. (IBM was not added back to the list until decades later.) According to Norman Fosback, the DJIA would be more than double its current level if Dow Jones & Co. had not made that decision.”

  4. Great point Dr. J You seem to know the stock market history very well. I would also like to point out that it seems as if the whole world revolves around those 30 stock in the Dow. That’s just 30 of the 1000′s of companies out there.

  5. Dr J says:

    exactly Chris.

    The Dow isn’t necessarily a very good indicator of the overall condition of the market even though its the index that most people know and look too.

  6. jim says:

    That’s a good point Dr. J, thanks for commenting. I do agree that the Dow isn’t a good indicator, in fact it’s a bad indicator because the companies are all blue chips, of the overall market performance. Sadly, it’s the oldest and the most publicized. I prefer the S&P, as do many funds as they use it at their benchmark, but nothing is perfect (the S&P certainly isn’t).

    Chris – I don’t think the world revolves around it but mainstream media certainly reports on it because, as Dr. J. said, that’s what people know.

  7. Great list of facts.
    We certainly live in a world of increasing volatility which will make investing all the more interesting.

  8. Nicole says:

    Jim-

    Thanks for the facts.

    Dr. J-

    Astute clarification;)

  9. Rob says:

    Does anyone know how the DJIA was calculated
    when it hit 1000? The formula was later changed.

  10. Me says:

    WOOT! I lovez da stok marketz!

  11. olivia says:

    im doing a report on the stock market and if i can get some info/ that would b great!

  12. bannana says:

    ummm i have to do a project and i need facts on the stock market crash when they all ran to the banks to get their money

  13. HI says:

    Hello i’m doing a project on stock market do you have any more tips or things that can be usefull

    Thank you

  14. Tina says:

    thankyou very much! Im doing a presentation on it for school. This helped alot. thanks!
    -Tina-

  15. BOB says:

    While it is a common point of discussion that it took 25 years to recover from the crash of 1929, this really isn’t entirely accurate.

    The 1929 example, and others like it, foster a giant misconception that colors the decision-making of many investors. Mark Hulbert wrote an excellent article on this subject last year, in which he made several crucial points. One was that looking only at the price of the Dow over those 25 years, rather than its total return, leads to a distorted conclusion:

    “Dividends also played a big role in stocks’ recovery from the 1929 Crash and subsequent bear market. Consider the stock series constructed by Jeremy Siegel, a finance professor at the Wharton School of the University of Pennsylvania, and author of the classic book ‘Stocks for the Long Run’. He shows that, for all intents and purposes, stocks on a total-return basis in late 1936 and early 1937 had risen back to their September 1929 high, before entering into another bear market. This puts the recovery time at a little more than four years from the stock market’s July 1932 bottom.”

    Hulbert went on to point out that the 30 Dow stocks really weren’t representative of the stock market as a whole:

    “It turns out that the particular stocks that were included in the Dow in the 1930s and 1940s performed significantly less well than the overall market. Perhaps the most celebrated example of how unrepresentative the Dow was then: The now-infamous decision Dow Jones & Co. made in 1939 to remove International Business Machines from the list of the 30 Dow stocks. (IBM was not added back to the list until decades later.) According to Norman Fosback, the DJIA would be more than double its current level if Dow Jones & Co. had not made that decision.”

  16. Emily says:

    Actually the Wall St. wall was constructed in 1653.

    • Red Envelope says:

      really? then i shouldn’t get information from this website…

      anyways.. Gong xi Fa Cai!(Happy Chinese New Year!)
      gong xi fa cai, hong bao na lai!

  17. max says:

    For school project: Why do the people stand on the platform at the end of the NYSE. Who are they and why do they clap?

  18. Anonymous says:

    AWESOME FACTS FROM THIS ARTICLE

  19. nerdrage says:

    YO BRO!!!! you’re a NERD!

  20. Kitty Warrior says:

    thanks for the great facts =^w^=

  21. volk says:

    It was very helpful thanks

  22. Anonymous says:

    thank you for the facts for my projects

  23. Fred says:

    Thanks for the link to my StockMarketTrivia web site. My book, Stock Market Trivia, was just published last month, and it has a bunch of additional trivia, like the stock that traded for over a million dollars a share and the stock that owned a rock with George Washington’s graffiti on it.


Please Leave a Reply
Bargaineering Comment Policy


Previous Article: «
Next Article: »
Advertising Disclosure: Bargaineering may be compensated in exchange for featured placement of certain sponsored products and services, or your clicking on links posted on this website.
About | Contact Me | Privacy Policy/Your California Privacy Rights | Terms of Use | Press
Copyright © 2014 by www.Bargaineering.com. All rights reserved.