STOCK MARKET

Presented By:
SUMANTH HU 1JS15ME097
NUTHAN BABU GR 1JS16ME097
GOPINATH R 1JS16ME024
HARSHITH M 1JS17ME037
CONTENTS

 INTRODUCTION TO STOCK MARKET

 FEATURES OF STOCK MARKET
 IMPORTANCE OF STOCK MARKET
 FUNCTION OF STOCK MARKET
 CLASSIFICATION OF STOCK MARKET
 CONCLUSION
 STOCK EXCHANGE

 Stocks are issued by companies in order to raise capitals and

are bought by investors in order to acquire a portion of the
company,

 Stock exchange means anybody of individual whether

incorporated or not ,constituted for the purpose of assisting
,regulating or controlling the business of buying ,selling or
dealing in securities ".
(Securities Contract (Regulation) Act ,1956)
 Features of stock exchange

 It is a place where securities issued by companies, govt. & other

authorities are purchased & sold.
 Its area of operation or geographical jurisdiction is well defined.
 Its purpose is to assist & regulate buying & selling in securities.
 It operates as per rules 7 guidelines issued by the Securities &
Exchange Board Of India (SEBI).
 Importance of stock exchange

 Stock exchange is a organized securities market which provides

sufficient marketability to shares & debentures.
 Stock exchange provide a reasonable measure Of safety & fair
dealing in the buying & selling of securities.
 Stock exchange play an important part to speed up the process
Of economic in the country.
 Stock exchange has been described as the pulse Of the economy
Of the country.
 BULLS
A Bull Market indicates the constant upward
movement of the stock market.
A particular stock that seems to be increasing in
value is described to be bullish
 BEARS
A bear market indicates the continuous
downward movement Of the stock market
 Stock that seems to be decreasing in
value is described to be bearish.
 STOCK BROKER
A stockbroker is person Who is licensed to trade in shares.
 Brokers also have direct access to the share market and can act as an
agent in share transactions.
 For this service they charge a fee i.e. brokerage.

TRADING IN STOCK MARKET

The market regulator, the Securities and Exchange Board of India
(SEBI), has made it compulsory to open the demat account if you want to
buy and sell stocks.
A person want to buy/sell stocks in the Stock market has to first place
his/her order with a broker or can do themselves using online trading
systems.
 Functions of Stock Exchange

 Provide central and convenient meeting places for sellers and buyer Of
securities
 Increase the marketability and liquidity Of securities
 Contribute to stability or prices of securities
 Equalization Of price Of securities
 Smoothen price movement
 Help the investors to know the worth of their holdings.
 Promote the habit Of saving and investment
 CONCLUSION

 The stock exchange is considered to be the barometer of economic

activity.
 Stock exchange regulate and monitor trading activity
 SEBI regulate the functions of stock exchange

Secondary market provides a platform for sale of already issued and
listed securities.