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Basics of Stock Market

by - Ishank Ravi on - June 26, 2019

Basics of Stock Market


Stock Market is all about the buying and selling of securities and one thing that comes to our mind while discussing Stock Market is that what exactly a Stock Exchange is ? so lets start with the simplest explanation. The Securities Contract (Regulation) Act, 1956 (SCRA) defines ‘Stock Exchange’ as any body of individuals, whether incorporated or not, constituted for the purpose of assisting, regulating or controlling the business of buying, selling or dealing in securities. In other words we can say that exchange is a place where shares are traded between the counter party. 
Stock exchanges could be of two types one is regional stock exchange whose area of operation/jurisdiction is specified at the time of its recognition example Magadh Stock Exchange (Patna), Kolkata Stock Exchange (Kolkata), and second is a national exchange, which are permitted to have nationwide trading since inception example National Stock Exchange (NSE Mumbai), Bombay Stock Exchange (BSE Mumbai).

For more information on stock market follow my blog on:-

What is Small Cap, Mid Cap & Large Cap companies



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