intro to stock exchange

The (founded in 1602) was the firstto get a fixed capital stock and as a result, continuous

trade in company stock occurred on the Amsterdam Exchange. Soon thereafter, a lively

trade in various , among which options and repos, emerged on the market. Dutch traders also pioneered –a practice which was banned by the Dutch authorities as early as 1610.

There are now stock markets in virtually every developed and most developing economies, with the world's largest markets being in the

United States, United Kingdom, Japan, India, China, , Germany ( ), France, and the .

NEW YORK STOCK EXCHANGE

TORONTO STOCK EXCHANGE

JAPAN STOCK EXCHANGE

Indian stock marketmarks to be one of the oldest stock market in Asia. It dates back to the close of 18th century when the East India Company used to transact loan securities. In the 1830s, trading on corporate stocks and shares in Bank and Cotton presses took place in Bombay.

• First organised stock exchange in India was setup in Bombay. It is known as Bombay Stock Exchange

• Second stock exchange was setup in Ahemdabad in 1908

• Third stock exchange was setup in Calcutta in 1908.• At present there are 23 stock exchanges in the

country.• Stock exchanges function under the over all

regulation of the ministry of finance & the SEBI.

SECURITIES EXCHANGE BOARD

OF INDIA

NATIONAL STOCK EXCHANGE

National Stock Exchange

राष्ट्रीय शेयर बाजार

Type Stock Exchange

Location Mumbai, Maharashtra, India

Founded 1992

Owner National Stock Exchange of India Limited

Key people Chitra Ramkrishna (MD) and (CEO)

Currency Indian rupee

• The NSE of India was set up in 1993, at a time when PV Narasimha Rao was the Prime Minister of India and Dr. Manmohan Singh was the finance minister. It was set up to bring in transparency in the markets.

• The NSE is stock exchange located in Mumbai, India. National Stock Exchange (NSE) was established in the mid 1990s as a demutualised electronic exchange.

• NSE provides a modern, fully automated screen-based trading system, with over two lakh trading terminals, through which investors in every nook and corner of India can trade.

• NSE has played a critical role in reforming the Indian securities market and in bringing unparalleled transparency, efficiency and market integrity.

BOMBAY STOCK

EXCHANGE

THE GILT EDGED MARKETS

• It’s the market in govt. Securities or the securities guaranteed by the govt.

• The term “gilt edged” means ‘of best quality’

• They are highly liquid & can be sold in the market at the prevailing price

• The term "gilt account" is also a term used by the Reserve Bank of India to refer to a constituent account maintained by a custodian bank for maintenance and servicing of dematerialized government securities owned by a retail customer