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प्रश्न
Explain the following term/concept.
Secondary market
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उत्तर
The secondary market is more commonly known as the stock market or the stock exchange. Here, the previously issued securities are bought and sold by investors. There is no fresh issue. After the IPO, when the shares are listed on the stock exchange, they can be traded in the secondary market. In this market, securities are traded between investors. The main difference between the primary and secondary markets is that in the primary market only new securities are issued, whereas in the secondary market the already existing securities are traded.
संबंधित प्रश्न
Differentiate between ‘primary market’ and ‘secondary market’ on any five basis.
State how sources can broadly be classified into two major categories.
Answer each of these questions in about fifteen words:
Name the sources of demand for capital comes from.
Answer each of these questions in about fifteen words:
Define capital market.
Answer this question in about fifteen words:
What is Right Issue?
Answer each of these questions in about fifteen words:
What is the need of secondary market?
Answer each of these questions in about fifteen words:
In what forms company can raise capital through primary market?
Answer each of these questions in about one hundred and fifty words:
State the nature of money market. Who are the major participants in the money market?
High Order Thinking Skills
Why primary market is also known as new issue market? Give one reason.
Answer each of these questions in about fifteen words:
What is a secondary capital market?
Justify the following statement.
Capital market is useful for the corporate sector.
Complete the correlation.
Primary market: New issues launched to raise capital:: ______: Old issues through stock market.
Identify & explain the concept from the given illustration.
Kerala-based company K Jewellers intends to raise ₹1000 crore by fresh issuance of shares.
To be listed on OTCEI, the minimum capital requirement for a company is
The most commonly used method for raising funds in primary market is ______.
Read the following text and answer the following question on the basis of the same:
ISQM SOLAR Limited is searching for options to raise Rs. 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI Pvr LTD. to suggest options for the same. DHAN LAXMI PVI LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of Rs. 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. Rs. 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of Rs. 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise Rs. 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.
Identify the method of floatation of new issues in the primary market, not taken up by ISQM SOLAR LTD.:
Who plays a very vital role as a financial intermediary?
Which of the following statements is incorrect?
Which among the following is NOT a method of raising the required capital in the primary market?
Complete the correlation:
Money market : Short term funds :: ______ Long term funds.
