Conclusion of history of stock exchange project for class 12 commerce
Answers
Stocks are claims for company’s profit and are permitted voting rights in installing board of directors or approving large corporate works.
Shareholders aren't owners of any corporation’s assets and don't involve themselves with management.
Stock is equity whereas bonds are debt.
Bondholders are guaranteed of a return on their investment and have higher claim in recovery from a bankruptcy.
Generally stocks are considered riskier investments and need higher expected rate of return.
Answer:
We have learnt about stocks and stock markets in India of which NSE and BSE are the major ones. We have also seen the features and characteristics of stock exchange along with the powers of SEBI. Thus the Conclusion.
Explanation:
A stock exchange is an exchange where traders and stock brokers buy and sell shares of stock, bonds and other securities. It also offers facilities for issue and redemption of securities and other financial instruments. Stock issued by listed companies and unit trusts, bonds and pooled investment products can be traded on a stock exchange. A stock exchange functions as a 'continuous auction' market where transactions are conducted between the buyers and sellers.
A stock exchange plays an important role in the economy. It helps to raise capital for business, mobilize savings for investment, facilitates the growth of companies, and enables profit sharing. It assists in creating investment opportunities for small investors, and raising capital for development projects taken up by the government. It acts as a barometer of the economy.