They do not possess adequate telecommunication and computerisation facilities. Companies and brokers engaged in unlawful activities should be severely punished by fines and legal actions.
Featurtes of Indian Capital Market 3. To solve the problem of odd lots permanently, companies should be instructed by the SEBI not to issue rights and bonus shares to small shareholders in odd lots but compensate them by offering cash incentives.
But it has the name of the sponsor who is solely responsible for appraising the company, to its listing and to trading. It is free from any regulation and control though efforts have been made towards this direction by the Government of India and the Reserve Bank.
First, there should be computerisation at all stock exchanges so that trading becomes automatic and transparent.
It is a conduit through which surplus units lend their surplus Project on indian stock market to deficit units. It is an order-driven system where there are neither jobbers nor market makers.
The newly introduced warrants, zero-coupon bonds, etc. OTCEI is a ring-less, electronic and national exchange which trades in selected scrips and debt instruments. Buyers and sellers of scrips are at the mercy of brokers and sub-brokers who often quote the lowest traded rate of a scrip to the sellers and the highest to the buyers.
For removing delays in transactions, delivery of scrips and transfer of shares, to increase liquidity further, and to improve the working of stock exchanges, a number of suggestions have been made.
The non-availability of stock-invests of small denominations, procedural difficulties and high bank charges have kept the small investors away from this instrument. Recently, a variety of innovative and hybrid instruments have been introduced to attract more investors for new issues like warrants attached to convertible and non- convertible debentures, secured premium notes attached with warrants, deep discount bonds, accident insurance attached with warrants and non-convertible debentures with sale of khokhas to banks, zero-coupon bonds, zero-Interest bonds, etc.
The following measures have been taken up to reform the primary or new issues capital market in order to remove the inadequacies and deficiencies in the issue procedures. Consequently, companies had to issue equities at a discount substantially below market value.
Foreign firms have also been allowed to set up joint ventures in the financial sector. Since the s both the primary and secondary capital markets have been showing remarkable growth.
Funds flow into the capital market from individuals and financial intermediaries which are absorbed by commerce, industry and government.
Project Report on the Meaning of Capital Market: It operates in two segments: They should attract rural investors, be of small lots, be able to buy goods and services, and banks and post offices should deal in them. Its main objective is to have a comprehensive nationwide trading facility in scrips, debentures and PSUs bonds to investors through electronic screen-based trading, post-trade clearing and settlement.
In fact, the capital market provides a market mechanism for those who have savings and to those who need funds for productive investments. This brings about price fluctuations in the scrips of the company thereby adversely affecting the interests of the small investors. The secondary market was also very small with only 8 stock exchanges, listed companies, Rs.
All these defects deter trading of listed shares in the majority of stock exchanges in India. B Primary Market Reforms: It has been identified as the primary source of finance for the private and public sectors in the Eighth Five-Year Plan, in which it was estimated to raise Rs.
This report will help you to learn about: Thus it leads to capital formation. The companies, investors, transfer agents and brokers will be able to save on space in the depository system because there will be no need to store share certificates.
After verification from the Registrar, the seller receives the sale note and the cheque from the OTC. Refunds, dividend warrants and interest payments are sent by companies to the small clients by ordinary post which often do not reach them.
C Secondary Market Reforms: Old trading practices are still followed. They are also known as gilt-edged securities. Trading transactions in stock exchanges still lack transparency.
There are 15 million shareholders, the second largest in the world after the United States. These bonds are backed by the Reserve Bank.
To ensure that market makers are able to impart liquidity to scrips and reduce volatile movements in share prices, the RBI issued guidelines on 5 August, regarding bank financing of their operations.Stock market project for mba finance As a result of that both foreign and domestic investors are interested in investing in Indian stock market.
The topic selected for the study is “Security Analysis of selected power sector securities listed in Bombay Stock Exchange” with reference to Motilal Oswal securities Ltd, Thrissur. The study. Indian stock market was mainly because of drying up of overseas financing, constraints in raising funds in bearish domestic market and also due to decline in the internal accruals of corporates.
Tag: A project report on overview of indian stock market MBA Project On Indian Stock Market. May 9, May 9, projectsreports.
Indian Stock Markets is one of the oldest in Asia. Its history dates back to nearly years ago. The earliest records of security dealings in India are meager and obscure. PROJECT ON INDIAN STOCK MARKET. Introduction In general, the financial market divided into two parts, Money market and capital market.
Securities market is an important, organized capital market where transaction of capital is facilitated by means of direct financing using securities as a commodity.
Project Report on the Working of Indian Capital Market: India is one of the few countries among the developing nations where the Bombay Stock Exchange began to function as early as inwhere the Government securities and bonds issued by Port Trust Municipal Corporation, etc. were traded. 3 Introduction The object of this project is to introduce the student to the stock market.
Its main function is to teach the students how to research companies through the financial pages of "The Wall Street.Download