Stock market is a place where people come to Buy / Sell Shares. Stock market provides an platform to a Trade to Buy/Sell his share. Companies generate funds to Run/Expand the business through IPO. Share once bought through IPO can only be traded in the Secondary market. Primary market is a place where share are bought from the Company directly. Trading is Buying and selling of stock in order to generate profit whereas invseting is putting money into something for the prupose of owning it. SENSEX and NIFTY are indexes which give an indication on how the market is performing. SENSEX (top 30 companies of BSE) and NIFTY (top 50 companies of NSE). SENSEX and NIFTY have base as 3000 and 1000 resp. NSE became more famous than BSE because BSE had stopped trading into an important segement of Future and Options. SEBI stands for Security exchange board of India. It is an Regulatory which ensures trading in the primary / Secondary market is done legally through specified norms. SEBI helps in protecting the interest of traders and prevents them from fraudulent practices. Promoter is the founder of the company, Shareholder is a person who owns shares, Director runs the company.

1 Comment
  1. vignesh 6 years ago

    Hi,
    your answers are brief and appropriate, will be useful to recall.

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