Stock Exchange
Content
This Stock Exchange was formed on 13th December, 1887 in the name of NATIVE SHARE AND STOCK BROKERS ASSOCIATION. It is a non profit motive organization. It is controlled by Bombay Securities Control Act. There are 504 members of this stock exchange. The members elect a president and a vice-president. Sensex is an index of Bombay Stock Exchange (BSE). Sensex consists of the 30 largest and most actively traded stocks, representative of various sectors, on the Bombay Stock Exchange. An index is basically an indicator. It indicates whether most of the stocks have gone up or most of the stocks have gone down. Sensex is an Barometer index of Bombay Stock Exchange (BSE) If the Sensex goes up, it means that the prices of the stocks of most of the major companies on the BSE have gone up. If the Sensex goes down, this tells you that the stock price of most of the major stocks on the BSE have gone down.
ACC BHEL Bharti Airtel DLF Universal Limited Grasim Industries HDFC HDFC Bank Hero Honda Motors Ltd. Hindalco Industries Ltd. Hindustan Lever Limited ICICI Bank Infosys ITC Limited Jaiprakash Associates Larsen & Toubro Mahindra & Mahindra Limited
Maruti Suzuki NIIT Technologies NTPC NIIT ONGC Reliance Communications Reliance Industries Reliance Infrastructure State Bank of India Sterlite Industries Sun Pharmaceutical Industries Tata Consultancy Services Tata Motors Tata Power Tata Steel Wipro
This Stock Exchange was recognized by the central government on 26th April, 1993. The objective of its establishment was to convert the exchange market into professional market. It provides security trading facility at national level through satellite communication system. Buyers and sellers of whole country can take part in buying and selling at the same time through satellite communication system. There is no need of going to the floor of the NSE. Just as Sensex, Nifty is the indicator of NSE. If Nifty goes up, it ,means that the price of most of the stocks have gone up and if Nifty goes down, it means that the price of most of the stocks have gone down.
Bull (Tejiwala): He is a speculator who purchases the shares at current prices to sell at a higher price in the near future and makes a profit if his expectations come true. Bear (Mandiwala) : He sells security in the hope that he will be able to buy them back at lesser price. He expects a fall in the prices of securities.
Lame duck : He is a bear Speculator who has made contracts to sell securities, but find it difficult to meet his commitment due to non-availability of security. They are always struggling.
Stag : He is that type of speculator who applies for a large number of shares in a new issue with the intention of selling them at a premium. He is bullish and very cautious and thus makes profit.
A. Broker: He is a commission agent who transacts business in securities on behalf of non-members. They may have number of sub-brokers to canvass and secure business for them.
B. Jobber: He is an independent dealer securities. He purchase and sells securities in his own name. He is not allowed to deal with non-members directly. He works for profit.
It assist the economic development by providing a body of interested investors. It encourages capital formation. Government can undertake projects of national importance and social value raising funds through the sale of its securities on the stock exchange.
A company whose shares quoted on stock exchange, they enjoy better reputation and credit. The market for the shares of such a company is naturally widened.
The market price of securities is likely to be higher in relation to its earnings dividends and property values. This raises the bargaining power of the company in the event of a take over, merger or amalgamation.
Liquidity of the investment is increased. The securities dealt on a stock exchange are good collateral security for loans. The stock exchange safeguards interests of investors through strict enforcement of rules and regulations. The present net worth of investments can be easily known by the daily quotations.
His risk is considerably less purchases listed securities.
when
he
holds
or
Thus, we conclude that a stock exchange helps in raising capital necessary for the industrial and economic development of the country. It is not only a chief theatre for business transactions but also a barometer which indicates the general condition of business atmosphere.
ACC BHEL Bharti Airtel DLF Universal Limited Grasim Industries HDFC HDFC Bank Hero Honda Motors Ltd. Hindalco Industries Ltd. Hindustan Lever Limited ICICI Bank Infosys ITC Limited Jaiprakash Associates Larsen & Toubro Mahindra & Mahindra Limited
Maruti Suzuki NIIT Technologies NTPC NIIT ONGC Reliance Communications Reliance Industries Reliance Infrastructure State Bank of India Sterlite Industries Sun Pharmaceutical Industries Tata Consultancy Services Tata Motors Tata Power Tata Steel Wipro
This Stock Exchange was recognized by the central government on 26th April, 1993. The objective of its establishment was to convert the exchange market into professional market. It provides security trading facility at national level through satellite communication system. Buyers and sellers of whole country can take part in buying and selling at the same time through satellite communication system. There is no need of going to the floor of the NSE. Just as Sensex, Nifty is the indicator of NSE. If Nifty goes up, it ,means that the price of most of the stocks have gone up and if Nifty goes down, it means that the price of most of the stocks have gone down.
Bull (Tejiwala): He is a speculator who purchases the shares at current prices to sell at a higher price in the near future and makes a profit if his expectations come true. Bear (Mandiwala) : He sells security in the hope that he will be able to buy them back at lesser price. He expects a fall in the prices of securities.
Lame duck : He is a bear Speculator who has made contracts to sell securities, but find it difficult to meet his commitment due to non-availability of security. They are always struggling.
Stag : He is that type of speculator who applies for a large number of shares in a new issue with the intention of selling them at a premium. He is bullish and very cautious and thus makes profit.
A. Broker: He is a commission agent who transacts business in securities on behalf of non-members. They may have number of sub-brokers to canvass and secure business for them.
B. Jobber: He is an independent dealer securities. He purchase and sells securities in his own name. He is not allowed to deal with non-members directly. He works for profit.
It assist the economic development by providing a body of interested investors. It encourages capital formation. Government can undertake projects of national importance and social value raising funds through the sale of its securities on the stock exchange.
A company whose shares quoted on stock exchange, they enjoy better reputation and credit. The market for the shares of such a company is naturally widened.
The market price of securities is likely to be higher in relation to its earnings dividends and property values. This raises the bargaining power of the company in the event of a take over, merger or amalgamation.
Liquidity of the investment is increased. The securities dealt on a stock exchange are good collateral security for loans. The stock exchange safeguards interests of investors through strict enforcement of rules and regulations. The present net worth of investments can be easily known by the daily quotations.
His risk is considerably less purchases listed securities.
when
he
holds
or
Thus, we conclude that a stock exchange helps in raising capital necessary for the industrial and economic development of the country. It is not only a chief theatre for business transactions but also a barometer which indicates the general condition of business atmosphere.
