Share Market originated as mutual organizations, owned by
its member of stock brokers. Share market is a form of stock exchange which
provides services for stock brokers and traders to trade stocks, bonds, and
other securities. Stock exchanges also
provide facilities for issue and redemption of securities and other financial
instruments, and capital events including the payment off income and dividends.
Securities traded on a stock exchange include shares issued by companies, unit
trusts, derivatives, investment products and bonds of the market. The
Requirements of stock exchange are –
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New York Stock Exchange
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NASDAQ Stock Exchange
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London Stock Exchange
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Bombay Stock Exchange
Sharing the market on a exchange by trade is members only. A
stock exchange is often the most important component of a stock market. London’s
first stockbrokers, from the old commercial center known as the Royal Exchange.
Stock trading was more limited in the market and subdued in subsequent decades.
The Stock Exchange provide companies with the facility to raise capital for
expansion through selling shares to the investing public. Share market in the
firm of the raising capital in the banking system. Stock Market achieved
directly or indirectly, involving a stock exchange. In the stock market , the
money is generating the sales, and earnings, or the company has completed
advanced promising clinical trials, earned potentially profitable parents or
conducted market research which demonstrated by very positive outcomes.
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Raising capital for businesses
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Commons forms of capital raising
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Announcing news in the public
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Limited partnerships
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Venture capital
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Corporate partners
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Mobilizing savings for investment
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Facilitating company growth
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Profit sharing
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Corporate governance
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Creating investment opportunities for small
investors
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Government capital-raising for development
projects
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Barameter of the economy