INDIAN INDIAN SHARE SHARE

MARKETMARKET

In simple Words, a “share or stock” is In simple Words, a “share or stock” is a document issued by a company, a document issued by a company, which entitles its holder to be one of which entitles its holder to be one of the owners of the company.the owners of the company.

A share is issued by a company or can A share is issued by a company or can be purchased from the stock marketbe purchased from the stock market

STOCK MARKET

• A stock market, sometimes referred to as a stock exchange, is a place where stockbrokers buy and sell stocks and other securities on behalf of investors, corporates and other entities

STOCK EXCHANGES

BOMBAY BOMBAY STOCK STOCK

EXCHANGEEXCHANGE(BSE)(BSE)

# Bombay Stock Exchange is the oldest stock exchange in Asia.

# BSE was established as "The Native Share & Stock Brokers' Association" in 1875

# Today BSE is the world’s no. 1 exchange in terms of the number of listed companies and the world’s 5th in transaction numbers

NATIONAL NATIONAL STOCK STOCK

EXCHANGEXCHANGEE

(NSE)(NSE)

> > The National Stock Exchange of India Limited The National Stock Exchange of India Limited is a Mumbai-based stock exchange. It is the is a Mumbai-based stock exchange. It is the largest stock exchange in India in terms of daily largest stock exchange in India in terms of daily turnover and number of trades.turnover and number of trades.

>> It is mutually owned by a set of leading financial It is mutually owned by a set of leading financial institutions, banks, insurance companies and institutions, banks, insurance companies and other financial intermediaries in India.other financial intermediaries in India.

>> NSE is the third largest stock exchange in the NSE is the third largest stock exchange in the world.world.

SECURITIES AND EXCHANGE SECURITIES AND EXCHANGE BOARD OF INDIA (SEBI)BOARD OF INDIA (SEBI)

The Securities and Exchange Board of India was established on April 12, 1992 in accordance with the provisions of the Securities and Exchange Board of India Act, 1992.

PREAMBLE:PREAMBLE:

The preamble of SEBI describes its The preamble of SEBI describes its basic functions as “…..to protect the basic functions as “…..to protect the interests of investors in securities and to interests of investors in securities and to promote the development of, and to promote the development of, and to regulate the securities market and for regulate the securities market and for matters connected therewith or matters connected therewith or incidental thereto”incidental thereto”

STOCK MARKET STOCK MARKET INDEXINDEX

• A stock market index is a method of measuring a section of the stock market.

• An index has a numerical value

• When an ‘index’ goes up or down, it reflects an increase or decrease, respectively, in the total value of those stocks

BSE SENSEXBSE SENSEX

• BSE Sensex or Bombay Stock Exchange Sensitive Index is a value-weighted index composed of 30 stocks that started on January 1, 1986.

• The Sensex is regarded as the pulse of the domestic stock markets.

BSE SENSEX CHARTBSE SENSEX CHARTJULY 9009 to JULY 2010JULY 9009 to JULY 2010