Question

write the 2 difference between underwriter and promoters



according to" share of issues" class 12 th
second book ka 1 st chapter​

Answer 1

$Answer$

$\\ \longmapsto$Underwriter

• An underwriter is any party that evaluates and assumes another party's risk for payment.
• Underwriters work in many areas of finance, from the insurance industry to mortgage lending.
• Underwriters determine the level of the risk for lenders.
• Underwriters are critical to the mortgage industry, insurance industry, equity markets, and common types of debt security trading because of their ability to ascertain risk.
• A book runner is another name for a lead underwriter.

$\\ \longmapsto$Promoters :-

• A promoter is an individual or organization that helps raise money for some investment activity.
• Promoters often tout penny stocks, an area where false promises and misrepresentation of the company or its prospects have become commonplace.
• Promoters can also be writers who review or write about a company for compensation, which can lead to skewed analyses.
• Promoters do not need to be licensed or have any particular qualifications.
• Stock promoting is not illegal as long as the compensation information is disclosed.

Answer 2

☞ Underwriter

• An underwriter is any party that evaluates and assumes another party's risk for payment.

• Underwriters work in many areas of finance, from the insurance industry to mortgage lending.

• Underwriters determine the level of the risk for lenders.

• Underwriters are critical to the mortgage industry, insurance industry, equity markets, and common types of debt security trading because of their ability to ascertain risk.

• A book runner is another name for a lead underwriter.

☞ Promoters

• A promoter is an individual or organization that helps raise money for some investment activity.

• Promoters often tout penny stocks, an area where false promises and misrepresentation of the company or its prospects have become commonplace.

• Promoters can also be writers who review or write about a company for compensation, which can lead to skewed analyses.

• Promoters do not need to be licensed or have any particular qualifications.

• Stock promoting is not illegal as long as the compensation information is disclosed.