Securities Market provide platform to trade. Moreover, you can save funds in financial Securities at removal of client. And in turn you will get benefits in Securities Market. Like interest, dividend, capital appreciation bonus etc. Therefore, check function of securities market. Hence, these investors and issuers of financial securities form two important part of securities markets. In addition, like Investors and Issuers. But see securities market in India.
Securities market Introduction
Intermediaries are important element of Market. However, intermediaries act between investors and issuers in security markets. Therefore, securities markets are control by regulatory bodies. Because, fair market perform by regulator. And it also controls behavior of issuers and intermediaries.
However, regulatory are also keep interest of investor. Intermediaries ensure to give high service. Therefore securities markets are adjust by regulatory bodies. And it also form important element of securities markets. Further, process of employment resources is carried out under control. Hence, see types of securities in stock market.
Therefore, there are four important participants of securities markets. Like Investors, issuers, intermediaries and regulators. Hence, check issuer of securities. See different types of issuers.
In India investor is backbone of securities market in any economy. And it also provides funds for expansion of companies and for financial gain. Therefore in securities market investor is divided into two categories. Such as Retail investors and institutional investors. However, retail investors are individual investors.
However, retail investor can buy and sell securities for their personal account. But not for another company or organization. Probably, this category also contains high net worth individuals (HNI). Hence, which comprise of people who invest more than rupees two lakh in single transaction.
Issuer is legal entity that develops. But it registers and securities sell to finance company. Therefore issuers may be firm and investment trusts or domestic or foreign governments. Moreover, issuers undertake both public sector and private companies.
However, it ensure fair and clear trading on financial markets. And it also apply number of rules of conduct to anyone. But who is active on those markets. So law also require specific requirement on markets in financial instruments. Hence, see list of issuers in finance market.
Similarly, even banks and other financial institution raise funds from securities market. And other important issuer is Mutual fund. Moreover, MF is important investment intermediaries. But it activate saving on small investors. Probably, funds can be raised in primary market from domestic market. Therefore one of major policy change was allowing Indian companies. To raise funds by way of equity issue in international market. Similarly, Indian companies have raise funds from international capital market. But through Global Depository Receipts (GDRs), foreign currency convertible bonds (FCCBs). In addition, like external commercial borrowings (ECBs).
GDRs are basically equity instrument issue by overseas corporate bodies. But Indian companies are select domestic custodian banks against bonds and shares. Moreover, ADRs are flexible instruments. And it denominates in dollars and issued by US depository bank.
However, FCCBs are bonds issue by Indian companies. And it subscribe by nonresident in foreign currency. Therefore, they carry fixed interest or coupon rate. But convert into number of shares at chosen price. ECBs are commercial loans in form of bank loans.
Intermediaries play very important role in securities market. Because, together they put buyers demand. And with offer of security sells. Therefore numbers of intermediaries provide service in Indian securities market. Hence, see intermediary banks. Hence, check list of important regulatory bodies.
However, intermediary will manage individual portfolios. And also execute orders and provide information on securities. Therefore intermediary will maintain close relationship with investor. Moreover, regulators of securities industry will direct to intermediary. See role of intermediaries in financial market.
Regulators are key agencies to market. But it control direct or indirect for securities market. See types of regulators bodies in India. Hence, list of financial regulators in India. And also view Financial Regulatory authorities list.
Role of regulator are very important in securities. Probably, regulators make sure that market participants behave in desired manner. So that securities markets is major source of finance. But for corporate and government. And also protect investor’s interest. SEBI act and Depositories Act are mostly run by SEBI.
In addition, securities market is shares by Department of Economic Affairs (DEA). Others like Minister of Corporate Affairs (MCA), Reserve Bank of India (RBI) and SEBI. Moreover, SEBI order under securities laws before Securities Appellate Tribunal (SAT). But most of powers are under Securities Contracts Regulation Act (SCRA) and few by SEBI.
Finally, see list of regulatory bodies. But, foreign companies have develop to raise capital from Indian market. However, they can issue Indian Depository Receipts (IDR). Probably it will be in Rupee term. Therefore, see functions of security market.