際際滷

際際滷Share a Scribd company logo
S.S JAIN SUBODH MANAGEMENT
INSTITUTE, JAIPUR
TOPIC : STOCK MARKET
M-209A(CONTEMPORARY ISSUE)
2014-2015
PRESENTED BY:
SHREYA SHARMA
INDEX
 Definition of stock exchange
 Types
 Trading in stock exchange
 Demat account
 Importance
 Investments
 Benefits
 Causes of price fluctuation
 Classification of market
 Greece crises
STOCK MARKET
 Stocks are issued by company in
order to raise capital and bought by
investors in order to acquire the
portion of the company.
 Stock market is a place where
buying and selling of stocks take
place.
TYPES
1. NORMAL MARKET :Order traded in
regular lot size.
2. ODD LOT MARKET: Orders are not
traded in regular lot size but both prices and
quantities should tally with each other.
3. SPOT MARKET: Its a market in which
instruments are traded for immediate delivery.
4. AUCTION MARKET: Initiated by
exchanges on behalf of members for settlement
related reasons.
BIG STOCK EXCHANGES
 New York stock exchange
 NASDAQ- America
 Dow Jones
 Tokyo stock exchange
 London stock exchange
 Bombay stock exchange
 National stock exchange
Stock market presentation
STOCK EXCHANGES IN INDIA
NATIONAL STOCK EXCHANGE : It is
the ninth largest exchange in the world by
market capitalization and largest in India
by daily turnovers.
BOMBAY STOCK EXCHANGE : Its the
oldest stock exchange in Asia
with a rich heritage of
over 137 years of existence.
NATIONAL STOCK EXCHANGE
 Location : Mumbai
 Index : nifty
 Consists : group of 50 stocks
 Launch : April 1994
 Base period : 1993-1994
 Members : 726
BOMBAY STOCK EXCHANGE
 Location : Mumbai
 Index : Sensex
 Consists: group of 30 stocks
 Launch : 30 Jan ,
 Base year : 1978-1979
 Members : 852
TRADING IN STOCK MARKET
 The market regulator SEBI has made
it compulsory to open a DEMAT
account to buy and sell stocks.
 A person wants to buy/sell shares in
stock market has to first place an
order with a broker or can do
themselves using online trading
system.
 The stock purchased shall be sent to
your DEMAT account . This process
is called Rolling Settlement Cycle.
DEMAT ACCOUNT
 DEMAT stands for dematerialization
. It is a process through which
physically held shares are converted
into paperless (computerized) form.
 In India there are 2 depositories
NSDL and CDSL
INVESTMENTS IN VARIOUS TYPES OF
TRADING
1. SHORT TERM TRADING :Stock
trading done for one week to couple of
months is called short term trading.
2. MID TERM TRADING: Stock trading
done for one month to a couple of
months is called mid term trading.
3. LONG TERM TRADING : Stock
trading done for a couple of months to a
couple of years is called long term
trading
BENIFITS
 Possibility of increase in value of
share.
 Income from dividend
 Easy liquidity
 Tax benefits on income earned
 Effective way to make money
 Diversification and capital growth
 Wealth maximization of share holder
CAUSES OF PRICE FLUCTUATION
 Demand and supply
 Bank rate
 Speculative pressure
 Auction of underwriters
 Change in companies board of
directors
 Financial position
 Trade cycle
 Political factors
CLASSIFICATION OF MARKET
 SECURITY MARKET:
1. EQUITY MAKET
2. DEBT MARKET
3. DERIVATIVE MARKET
 FOREIGN EXCHANGE MARKET: Its
a global decentralization market for the
trading of currencies . In terms of
volume of trading it is by far the most
and largest market in the world.
 PRIMARY MARKET: it deals in
issuance of securities and shares
are traded for the first time
 SECONDARY MARKET: its a market
where previously issued securities
are bought and sold.
FINANCIAL MARKET
SPECULATION AND SPECULATORS
 SPECULATION: It is a transaction of
members to buy or sell securities on
stock exchange with a view to make
profits to anticipate raise or fall in the
prices of securities
 SPECULATOR: The dealer in stock
exchange who indulge in speculation is
called speculator. They do not take
delivery of securities by them , but only
pay or rescue the difference between the
purchase and sale price.
TYPES OF SPECULATORS
 Bull speculator
 Bear speculator
 Stag speculator
 Lame duck speculator
BULL
BULL (TEJIWALA)
 He is the speculator who expects the
future raise in price of securities to
sell them at future date at a higher
price.
 He is called a bull because his
activities resembles as a bull, as the
bull tends to throw its victims up in
the air through its horns. In simple
the bull speculations tries to raise
the price of securities by placing a
big purchase order.
BEAR
BEAR ( MANDIWALA)
 He is a speculator who expects
future fall in price ,he does an
agreement to sell securities at future
date at the present market value.
 He is called as bear because his
attitude resembles with bear ,as the
bear tends to stamp its victims down
to earth through its paws .In simple
the bear speculator forces of prices
of securities to fall through his
activities.
DEER
STAG (Deer)
 He operates in new issue of market
He is just like a bull speculator. He
applies large number of shares in
the issue market only by paying
,application money , allotment
money. He is not a genuine investor
because, he sells the allotted
securities at a premium rate and
makes profit. He is caution in his
dealing . He creates an artificial rise
in price of new shares and makes
profit.
LAME DUCK
LAME DUCK
 He is a speculator when the bear
operator finds it difficult to deliver
the securities to a consumer on a
particular day as agreed upon, he
struggle as a lame duck to fulfill his
commitment .this happens when the
prices do not fall as expected by the
bear and the other party is not
willing to postpone the settlement to
the next period
 The SEBI was constitute on 12 April
1988 under a revolution of the
government of India .
 The companies act was given certain
power to SEBI as regards the issues
and transfer of securities and non
payment of dividend.
FUNCTIONS
 Regulating the business in stock
exchange and any other securities
market.
 Promoting and regulating self regulatory
organization.
 Registering and regulating the work of
collective investments , including mutual
funds.
 Prohibiting fraudulent and unfair trade
practices relating to securities market.
 Promoting education and training of
intermediaries of securities market.
POWER OF SEBI
1. Power to approve the bye laws of stock
exchange .
2. Power to inspect the books of accounts.
3. Power of dealing in certain areas.
4. Power to try directly the foliation of
certain provision of the companies act
GREECE CRISES
 The Greek government started in late
2009 as the one of 4 sovereign debt rises
in euro zone later referred to collectively
as a European crises.
 Route cause of its eruption was a
combination of structured weakness in
the Greek economy .
 Greek became the first country who failed
to make IMF 1.6 billion loan repayment on
June 30 2015.
GREECE CRISES CARTOONS
Stock market presentation
Stock market presentation
Stock market presentation
EFFECT ON INDIAN ECONOMY
 Since India tracks international economy
indicators and the value of the dollar the
fallout of Greek crises is bound to impact
the Indian stock market.
 For some time market of India would stay
in a state of flux and rupee may loose
ground if situation in Greece is worsen
 There is a need for India to double its
effort to strengthen the economy in terms
of domestic demand
conclusion

More Related Content

Stock market presentation

  • 1. S.S JAIN SUBODH MANAGEMENT INSTITUTE, JAIPUR TOPIC : STOCK MARKET M-209A(CONTEMPORARY ISSUE) 2014-2015 PRESENTED BY: SHREYA SHARMA
  • 2. INDEX Definition of stock exchange Types Trading in stock exchange Demat account Importance Investments Benefits Causes of price fluctuation Classification of market Greece crises
  • 3. STOCK MARKET Stocks are issued by company in order to raise capital and bought by investors in order to acquire the portion of the company. Stock market is a place where buying and selling of stocks take place.
  • 4. TYPES 1. NORMAL MARKET :Order traded in regular lot size. 2. ODD LOT MARKET: Orders are not traded in regular lot size but both prices and quantities should tally with each other. 3. SPOT MARKET: Its a market in which instruments are traded for immediate delivery. 4. AUCTION MARKET: Initiated by exchanges on behalf of members for settlement related reasons.
  • 5. BIG STOCK EXCHANGES New York stock exchange NASDAQ- America Dow Jones Tokyo stock exchange London stock exchange Bombay stock exchange National stock exchange
  • 7. STOCK EXCHANGES IN INDIA NATIONAL STOCK EXCHANGE : It is the ninth largest exchange in the world by market capitalization and largest in India by daily turnovers. BOMBAY STOCK EXCHANGE : Its the oldest stock exchange in Asia with a rich heritage of over 137 years of existence.
  • 8. NATIONAL STOCK EXCHANGE Location : Mumbai Index : nifty Consists : group of 50 stocks Launch : April 1994 Base period : 1993-1994 Members : 726
  • 9. BOMBAY STOCK EXCHANGE Location : Mumbai Index : Sensex Consists: group of 30 stocks Launch : 30 Jan , Base year : 1978-1979 Members : 852
  • 10. TRADING IN STOCK MARKET The market regulator SEBI has made it compulsory to open a DEMAT account to buy and sell stocks. A person wants to buy/sell shares in stock market has to first place an order with a broker or can do themselves using online trading system. The stock purchased shall be sent to your DEMAT account . This process is called Rolling Settlement Cycle.
  • 11. DEMAT ACCOUNT DEMAT stands for dematerialization . It is a process through which physically held shares are converted into paperless (computerized) form. In India there are 2 depositories NSDL and CDSL
  • 12. INVESTMENTS IN VARIOUS TYPES OF TRADING 1. SHORT TERM TRADING :Stock trading done for one week to couple of months is called short term trading. 2. MID TERM TRADING: Stock trading done for one month to a couple of months is called mid term trading. 3. LONG TERM TRADING : Stock trading done for a couple of months to a couple of years is called long term trading
  • 13. BENIFITS Possibility of increase in value of share. Income from dividend Easy liquidity Tax benefits on income earned Effective way to make money Diversification and capital growth Wealth maximization of share holder
  • 14. CAUSES OF PRICE FLUCTUATION Demand and supply Bank rate Speculative pressure Auction of underwriters Change in companies board of directors Financial position Trade cycle Political factors
  • 15. CLASSIFICATION OF MARKET SECURITY MARKET: 1. EQUITY MAKET 2. DEBT MARKET 3. DERIVATIVE MARKET FOREIGN EXCHANGE MARKET: Its a global decentralization market for the trading of currencies . In terms of volume of trading it is by far the most and largest market in the world.
  • 16. PRIMARY MARKET: it deals in issuance of securities and shares are traded for the first time SECONDARY MARKET: its a market where previously issued securities are bought and sold. FINANCIAL MARKET
  • 17. SPECULATION AND SPECULATORS SPECULATION: It is a transaction of members to buy or sell securities on stock exchange with a view to make profits to anticipate raise or fall in the prices of securities SPECULATOR: The dealer in stock exchange who indulge in speculation is called speculator. They do not take delivery of securities by them , but only pay or rescue the difference between the purchase and sale price.
  • 18. TYPES OF SPECULATORS Bull speculator Bear speculator Stag speculator Lame duck speculator
  • 19. BULL
  • 20. BULL (TEJIWALA) He is the speculator who expects the future raise in price of securities to sell them at future date at a higher price. He is called a bull because his activities resembles as a bull, as the bull tends to throw its victims up in the air through its horns. In simple the bull speculations tries to raise the price of securities by placing a big purchase order.
  • 21. BEAR
  • 22. BEAR ( MANDIWALA) He is a speculator who expects future fall in price ,he does an agreement to sell securities at future date at the present market value. He is called as bear because his attitude resembles with bear ,as the bear tends to stamp its victims down to earth through its paws .In simple the bear speculator forces of prices of securities to fall through his activities.
  • 23. DEER
  • 24. STAG (Deer) He operates in new issue of market He is just like a bull speculator. He applies large number of shares in the issue market only by paying ,application money , allotment money. He is not a genuine investor because, he sells the allotted securities at a premium rate and makes profit. He is caution in his dealing . He creates an artificial rise in price of new shares and makes profit.
  • 26. LAME DUCK He is a speculator when the bear operator finds it difficult to deliver the securities to a consumer on a particular day as agreed upon, he struggle as a lame duck to fulfill his commitment .this happens when the prices do not fall as expected by the bear and the other party is not willing to postpone the settlement to the next period
  • 27. The SEBI was constitute on 12 April 1988 under a revolution of the government of India . The companies act was given certain power to SEBI as regards the issues and transfer of securities and non payment of dividend.
  • 28. FUNCTIONS Regulating the business in stock exchange and any other securities market. Promoting and regulating self regulatory organization. Registering and regulating the work of collective investments , including mutual funds. Prohibiting fraudulent and unfair trade practices relating to securities market. Promoting education and training of intermediaries of securities market.
  • 29. POWER OF SEBI 1. Power to approve the bye laws of stock exchange . 2. Power to inspect the books of accounts. 3. Power of dealing in certain areas. 4. Power to try directly the foliation of certain provision of the companies act
  • 30. GREECE CRISES The Greek government started in late 2009 as the one of 4 sovereign debt rises in euro zone later referred to collectively as a European crises. Route cause of its eruption was a combination of structured weakness in the Greek economy . Greek became the first country who failed to make IMF 1.6 billion loan repayment on June 30 2015.
  • 35. EFFECT ON INDIAN ECONOMY Since India tracks international economy indicators and the value of the dollar the fallout of Greek crises is bound to impact the Indian stock market. For some time market of India would stay in a state of flux and rupee may loose ground if situation in Greece is worsen There is a need for India to double its effort to strengthen the economy in terms of domestic demand