You have been asked to write a report for a group of new stock brokers about the American Stock Exchange and the NASDAQ.

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SIMILARITIES AND DIFFERENCES BETWEEN NASDAQ AND AMEX
Remember, Amex is now merged with NASDAQ!
Created in 1971, the Nasdaq was the world's first electronic stock market. The Nasdaq is a computerized system that facilitates trading and provides price quotations on some 5,000 of the more actively traded over-the-counter stocks.
The term "Nasdaq" used to be capitalized "NASDAQ" as an acronym for National Association of Securities Dealers Automated Quotation. In recent times, the acronym was dropped, and Nasdaq is now used as a proper noun.
NASDAQ TRADES IN HIGH TECH STOCKS
The Nasdaq is traditionally home to many high-tech stocks. The big ones include Microsoft, Intel, Dell, and Cisco.
When it began trading on February 8, 1971, it was the world's first electronic stock market. NASDAQ is now the largest U.S. electronic stock market. With approximately 3,200 companies, it lists more companies and, on average, trades more shares per day than any other U.S. market. It is home to companies that are leaders across all areas of business including technology, retail, communications, financial services, transportation, media and biotechnology. NASDAQ is the primary market for trading NASDAQ-listed stocks. NASDAQ allows multiple market participants to trade through its electronic communications networks (ECNs) structure, increasing competition. The Small Order Execution System (SOES) is another NASDAQ feature, introduced in 1984, to ensure that in 'turbulent' market conditions small market orders are not forgotten but are automatically processed. On July 17, 1995 the NASDAQ stock index closed above the 1,000 mark for the first time. The index peaked at 5132.52 on March 10, 2000, which signaled the beginning of the end of the dot-com boom.
NASDAQ-100 Index
The NASDAQ-100 Index includes 100 of the largest domestic and international non-financial companies listed on The Nasdaq Stock Market based on market capitalization. The Index reflects companies across major industry groups including computer hardware and software, telecommunications, retail/wholesale trade and biotechnology. It does not contain financial companies including investment companies. The NASDAQ-100 Index is calculated under a modified capitalization-weighted methodology.

The NASDAQ Financial-100 Index includes 100 of the largest domestic and international financial companies listed on The NASDAQ Stock Market based on market capitalization. They include companies classified by the FTSEâ?¢ Global Classification System as Financials, which are included within the NASDAQ Bank, Insurance and Other Finance Indexes.
On January 31, 1985, the NASDAQ Financial-100 Index began with a base of 250.00.

The NASDAQ Composite Index measures all NASDAQ domestic and international based common type stocks listed on The NASDAQ Stock Market.
Today the NASDAQ Composite includes over 3,000 companies, more than most other stock market indices. Because it is so broad-based, the Composite is one of the most widely followed and quoted major market indices.
On February 5, 1971, the NASDAQ Composite Index began with a base of 100.00.

The NASDAQ National Market Composite Index is a sub-set of the NASDAQ Composite Index, and consists of all companies included in the NASDAQ Composite Index which are listed on the NASDAQ National Market tier of The Nasdaq Stock Market.
On July 10, 1984 the NASDAQ National Market Composite Index began with a base of 100.00.

The NASDAQ Bank Index contains NASDAQ listed companies classified according to the FTSEâ?¢ Global Classification System as Banks. They include banks providing a broad range of financial services, with significant retail banking and money transmission.
On February 5, 1971, the NASDAQ Bank Index began with a base of 100.00.

The NASDAQ Biotechnology Index contains companies that are classified according to the FTSEâ?¢ Global Classification System as either biotechnology or pharmaceutical which also meet other eligibility criteria. The NASDAQ Biotechnology Index is calculated under a modified capitalization-weighted methodology.
On November 1, 1993, the NASDAQ Biotechnology Index began with a base of 200.00.

The NASDAQ Computer Index contains NASDAQ listed companies classified according to the FTSEâ?¢ Global Classification System as Computer Hardware, Semiconductors, and Software & Computer Services. They include firms that manufacture and distribute computers and associated electronic data processing equipment and accessories, semiconductor capital equipment, manufacturers and distributors of wafers and chips, providers of computer services and IT consultants, Internet access providers, internet software and on-line service providers, and producers and distributors of computer software.
On November 1, 1993, the NASDAQ Computer Index began with a base of 200.00.

The NASDAQ Industrial Index contains NASDAQ listed companies not classified in one of the NASDAQ sector Indexes. These include firms that are involved in mining, oil and gas, chemicals, construction and building materials, forestry and paper, steel and other metals, aerospace and defense, diversified industrials, electronic and electrical equipment, engineering and machinery, automobiles and parts, household goods and textiles, beverages, food producers and processors, health, personal care and household products, tobacco, general retailers, leisure and hotels, media agencies, photography, publishing and printing, support services, food and drug retailers, electricity, utilities, and biotechnology and pharmaceutical firms not included in the NASDAQ Biotechnology Index.
On February 5, 1971, the NASDAQ Industrial Index began with a base of 100.00.

The NASDAQ National Market Industrial Index is a sub-set of the NASDAQ Industrial Index, and consists of all companies included in the NASDAQ Industrial Index which are listed on the NASDAQ National Market tier of The Nasdaq Stock Market.
On July 10, 1984 the NASDAQ National Market Industrial Index began with a base of 100.00.

The NASDAQ Insurance Index contains NASDAQ listed companies classified according to the FTSEâ?¢ Global Classification System as Insurance or Life Assurance. They include insurance brokers, non-life insurance, re-insurance, other insurance, and life assurance.
On February 5, 1971, the NASDAQ Insurance Index began with a base of 100.00.

The NASDAQ Other Finance Index contains NASDAQ listed companies classified according to the FTSEâ?¢ Global Classification System as Investment Companies, Real Estate, Specialty and Other Finance, or Investment Entities. They include real estate holding and development, property agencies, asset managers, consumer finance, investment banks, mortgage finance, other finance including financial holding companies, security and commodity exchanges, and other financial companies.
On February 5, 1971, the NASDAQ Other Finance Index began with a base of 100.00.

The NASDAQ Telecommunications Index contains NASDAQ listed companies classified according to the FTSEâ?¢ Global Classification System as Television, Radio & Filmed Entertainment, Subscription ...