PRIMARY MARKET

AND

SECONDARY MARKET

INTRODUCTION
The market for industrial securities is known as securities market. It offers an ideal market for corporate securities such as shares and debentures. Industrial securities market is relatively much smaller in India than that in other industrialized countries. Industrial securities market in India can hardly be regarded as a barometer of economic activity.

PRIMARY MARKET

INDUSTRIAL SECURITIES MARKET

SECONDARY MARKET

PRIMARY MARKET
A market for raising fresh capital in the form of shares and debentures. The public limited and government companies are the issuers and individuals, institutions and mutual funds are the investors. It allows for the formation of capital in the country and the accelerated industrial and economic development. The primary market got a tremendous boost consequently upon the liberalisation policy and the subsequent abolition of capital issues control.

SECONDARY MARKET
A MARKET WHICH DEALS IN SECURITIES THAT HAVE BEEN ALREADY ISSUED BY THE COMBANIES IS CALLED SECONDARY MARKET.
IT IS A BASE UPON WHICH PRIMARY MARKET DEPENDS.

THE ACTIVITIES OF BUYING OR SELLING OF SECURITIES ARE CARRIED OUT THROUGH MECHANISM OF STOCK EXCHANGES.

THERE ARE 24 STOCK EXCHANGES IN INDIA RECOGNISED BY GOVERNMENT.

THREE IMPORTANT STOCK EXCHANGES IN BOMBAY: BSE, NSE, OVER THE COUNTER EXCHANGE.

SECONDARY MARKET OPERATION

TRADING
THE ACT OF BUYING OR SELLING OF SECURITIES ON A STOCK EXCHANGE IS KNOWN AS STOCK EXCHANGE TRADING.

TWO CATEGORIES OF DEALERS: JOBBERS AND BROKERS JOBBER GIVES TWO QUOTATION AS A DEALER DIFFERENCE BETWEEN TWO QUOTATION IS JOBBERS REMUNERATION BROKER IS AN AGENT TO BUY OR SELL ON BEHALF OF HIS CLIENTS BROKER GETS COMMISSION FROM HIS CLIENTS FIXED BY THE STOCK EXCHANGE

TYPES OF ORDERS
An order in a market such as a stock market, bond market, commodity market, or financial derivative market is an instruction from customers to brokers to buy or sell on the exchange.
MARKET ORDER LIMIT ORDER

STOP OR STOP LOSS ORDER

STOP LIMIT ORDER DAY ORDER GOOD-TILL-CANCELLED ORDER ALL-OR-NONE ORDER FILL-OR-KILL ORDER IMMEDIATE-OR-CANCEL ORDER

TRADING PROCEDURE
Trading is done on T+2 basis

Demat account by investors

Steps involved in trading of securities:Order placing Limit order Best rate order Open order Order execution Contract note

Clearing
Settlement

DMAT TRADING
Buying and selling electronic shares is just like buying and selling physical shares. The steps in the procedure are:-

Placing order

Issue receipt intimation

Payment

Transfer of shares

The following stock exchanges are linked to the depository:-

Calcutta stock exchange

Ludhiana stock exchange

Over the courier exchange of India(OTCEI)

Present position of depository:- setting of depository is a major development in a major development in Indian capital market.

ROLLING SETTLEMENT
Rolling settlement is a mechanism of settling trades done on stock exchange

Presently trading done on the major stock exchanges i.e. BSE and NSE is done on T+2 basis

That is done as follows: Trading Clearing Settlement

ONLINE TRADING
Online Trading in shares and securities in the India has been made possible due to the introduction of d-mat account

The major players in this sector are:

ICICI Bank HDFC Securities Axis Direct SHCI

BOLT mechanism on BSE is the online trading portal by the Bombay stock exchange

THANK YOU

PRESENTED BY:
NAME
SHEETAL CHAUHAN PURVI SHAH RENUKA SHANKAR BHAVIKA INDALKAR MADHUMITA HARSHE DIVYA BOTHRA

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