The stock market is an exchange for trading of financial securities.
A stock market helps create liquidity in the economy, It acts as a secondary market for companies to raise capital and for investors to unlock value.
While is stock-market is like any other marketplace where goods/services are bought and sold, e.g. a supermarket, a stock market is different in the sense that it only deals with financial products and these products can be exchanged with numerous other people eg. share sale/trading. Further, It helps companies raise & Government raise money.
It is regulated by SEBI: Securities and exchange board of India.
Sebi is responsible for regulating the Stock exchange and ensuring fair practice & transparency in its operations.
India has two primary stock exchanges:
SENSEX: Sensitive Index, This is the short form of Bombay stock exchange or BSE.
NIFTY: Is the NSE or the National Stock Exchange. NIFTY stocks i.e NIFTY 50, NIFTY 100, NIFTY index are all traded in volumes and are very popular in the capital markets.
