Marketiing Aptitude .. a few facts and figures ....

Bonds – They guarantee a definite return after a period of time

 

-- Government Bonds

There are two types of bonds --

                                                 -- Corporate Bonds                                                                          

Shares – They promise a share in ownership and share in profit.

Primary Market – it involves 3 players –

•       Share Issuing Company
•       Public Sector Bank
•       Primary Share Holders

IPO – Initial Public Offering – Initial issuing of shares by a company.

EPO – Extended Public Offering – Subsequent issue of shares.

Secondary Market – Stock or share markets, where buying and selling of pre-owned shares take place.

·        In India there are 22 stock markets

Largest stock market in the world by trade volume – Hong Kong

Some facts about the BSE and NSE in India -

•     BSE is the oldest stock exchange in Asia.
•     10^th largest in the world.
•   BSE Index – Sensex
•   NSE Index – Nifty
•      NSE is the first computerized stock exchange in India.

Market terms –

Bullish – When buying takes place, the market gets more money leading to expansion, called bullish trend.

Bearish – When selling of shares takes place, it leads to the shrinking of market, called bearish trend.

Sensex is a sensitivity index, which indicates average buying and selling of 30 stable shares.

Rise in sensex indicates bullish trend and drop indicates  bearish trend.

Nifty 

• National Index of 50 companies.
• Nifty is the index of NSE.
• It indicates the average buying and selling of 50 stable shares.

SEBI - Security Exchange Board of India 

• established in 1992
• it controls the share market.
• An NOC from SEBI is required for a company to issue shares.

Share Brokers -  official dealers through which a person can buy or sell shares.

Speculative Trade  - Buying and selling of shares through share brokers using sunset norms, expecting high returns with no investment.