In the event of promoting a company, if the investment is found to be huge, the promoters could also approach the public by first advertising their business plan & model. Upon public interest, the company would issue an Initial Public Offering thus facilitating the public to apply for shares. An individual once allotted shares would become a shareholder of that company, but has no right to sell back the shares to the company. Instead, they could only be exchanged or transferred in the secondary market known as the stock market which is regulated by SEBI. The most active stock markets in India are BSE and NSE where the stocks could be bought or sold by trading. The index of BSE is SENSEX while that of NSE is NIFTY. NSE is more popular due to its futures and options instruments besides having numerous indices sector wise.
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