<p>Stock exchanges do not own the stocks traded there. They are just like markets you buy your grocery from. Market stalls are rented out to traders and traders pay small fee/rent in return. Similarly, companies that list their stocks in exchanges (like NYSE and LSE) pay fees in return for having their stocks listed and traded. This has nothing to do with the prices of stocks that vary every second. The stock prices reflect the performance of the companies which issue them among other economic factors. </p>

<p>As to the cost of running exchanges, it really depends on the size of the exchange, you should get in touch with the NYSE for information about running it. <a href="http://www.londonstockexchange.com/companies-and-advisors/listing/fees/fees.htm" rel="nofollow noreferrer">Here</a> you can find info about LSE registration and annual fees.</p>

CC BY-SA 3.0
2017-12-11T18:49:01.910Z
Company costs (such as paying fees) have nothing to do with the performance of the company?
Giskard
CC BY-SA 3.0
2017-12-11T18:53:43.553Z
Yes, the fee the companies pay can be 0.5%-1% of total trade volume. The largest fees companies pay are for investment banking services and this is not related to registeration or listing.
london
CC BY-SA 3.0
2017-12-11T18:58:52.303Z
@denesp, company performance really depends on the market it operates, competition, factor costs and its ability to maintain its market share. I cannot imagine Tesco's performance being affected by the meagre fee it pays to keep its shares listed on LSE or Amazon/Apple on NYSE.
london
CC BY-SA 3.0
2017-12-11T18:44:52.267Z
2017-12-11T19:08:12.540Z
2017-12-11T19:08:12.540Z
london
<p>Yes, there's a cost to running the New York Stock Exchange. There's the premises, utility bills, staff, systems, and so on.</p>

<p>Yes, this affects the price of stocks on the exchange. The exchange recoups its fees, ultimately, from the companies listed on it, pushing up their costs.</p>

<p>However, for pretty much all companies listed on it, the stock exchange fees are a tiny part of their overall costs. Which means that the impact on the stock prices is pretty much negligible.</p>

CC BY-SA 4.0
2020-04-01T10:50:47.797Z
Stock exchanges also earn income from selling market data, and from renting out spaces for colocated servers.
Flux
CC BY-SA 3.0
2017-12-11T20:34:09.420Z
2017-12-11T20:34:09.420Z
410 gone
<p>Is there a cost to running the New York Stock Exchange? For example electricity costs, management costs,  rents on the building(s).  How do these costs (if any)  affect the price of stocks sold on the exchange?</p>

CC BY-SA 3.0
2017-12-12T04:01:39.057Z
The price of the many securities is affected by the ease with which they are bought or sold---their liquidity. The costs of running affect the transaction costs of trading assets. These transaction costs contribute to the liquidity of the assets, a measure of which could be the bid-ask spread. I'm not sure how much the exchange's costs contribute, though. They might be quite small.
jmbejara
<cost>
Is there a cost to running the NewYork Stock Exchange? Does it affect the price of stocks sold on the exchange?
Dan Anderson
# Is there a cost to running the NewYork Stock Exchange? Does it affect the price of stocks sold on the exchange?

(Asked by: username_0 on 2017-12-11)

Is there a cost to running the New York Stock Exchange? For example electricity costs, management costs, rents on the building(s). How do these costs (if any) affect the price of stocks sold on the exchange?

**Tags:** cost
> **Comments:**
> **username_1**: The price of the many securities is affected by the ease with which they are bought or sold---their liquidity. The costs of running affect the transaction costs of trading assets. These transaction costs contribute to the liquidity of the assets, a measure of which could be the bid-ask spread. I'm not sure how much the exchange's costs contribute, though. They might be quite small.  

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## 2 answers

### Answer by username_4 on 2017-12-11. Score: 3 | Accepted answer

Yes, there's a cost to running the New York Stock Exchange. There's the premises, utility bills, staff, systems, and so on.

Yes, this affects the price of stocks on the exchange. The exchange recoups its fees, ultimately, from the companies listed on it, pushing up their costs.

However, for pretty much all companies listed on it, the stock exchange fees are a tiny part of their overall costs. Which means that the impact on the stock prices is pretty much negligible.

> **Comments:**
> **username_5**: Stock exchanges also earn income from selling market data, and from renting out spaces for colocated servers.  

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### Answer by username_2 on 2017-12-11. Score: 1

Stock exchanges do not own the stocks traded there. They are just like markets you buy your grocery from. Market stalls are rented out to traders and traders pay small fee/rent in return. Similarly, companies that list their stocks in exchanges (like NYSE and LSE) pay fees in return for having their stocks listed and traded. This has nothing to do with the prices of stocks that vary every second. The stock prices reflect the performance of the companies which issue them among other economic factors.

As to the cost of running exchanges, it really depends on the size of the exchange, you should get in touch with the NYSE for information about running it. [Here](http://www.londonstockexchange.com/companies-and-advisors/listing/fees/fees.htm) you can find info about LSE registration and annual fees.

> **Comments:**
> **username_3**: Company costs (such as paying fees) have nothing to do with the performance of the company?  
> **username_2**: Yes, the fee the companies pay can be 0.5%-1% of total trade volume. The largest fees companies pay are for investment banking services and this is not related to registeration or listing.  
> **username_2**: @denesp, company performance really depends on the market it operates, competition, factor costs and its ability to maintain its market share. I cannot imagine Tesco's performance being affected by the meagre fee it pays to keep its shares listed on LSE or Amazon/Apple on NYSE.  

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