Exchange (organized market)

An exchange, or bourse /bʊərs/, is a highly organized market where (especially) tradable securities, commodities, foreign exchange, futures, and options contracts are sold and bought.

History

The term bourse is derived from the 13th-century inn named Huis ter Beurze in Bruges, Belgium, where traders and foreign merchants from across Europe conducted business in the late medieval period. The building, which was established by Robert van der Buerze as a hostelry, had operated from 1285. Its managers became famous for offering judicious financial advice to the traders and merchants who frequented the building. This service became known as the "Beurze Purse" which is the basis of bourse, meaning an organised place of exchange. Eventually the building became solely a place for trading in commodities.

During the 18th century, the façade of the Huis ter Beurze was rebuilt with a wide frontage of pilasters. However, in 1947 it was restored to its original medieval appearance.