![]() The earliest British voyages to the Indian Ocean were unsuccessful, resulting in lost ships and the financier’s personal fortunes being seized by creditors. ![]() This form of business organization was also necessitated by risk management. Realizing that few explorers could afford conducting an overseas trade voyage, limited liability companies (or LLC’s) were formed to raise money from investors, who received a share of profits commensurate with their investment. This changed in the 1600s when Britain, France, and the Netherlands all chartered voyages to the East Indies. However, rather than buying and selling shares of companies (which did not yet exist), brokers and lenders congregated there to “deal in business, government, and even individual debt issues.” It was not until 1531 when the first institution roughly approximating a stock market emerged, in Antwerp, Belgium. Stock markets did not begin as the super-sophisticated, simultaneous, worldwide trading exchanges of today.
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