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InterviewSolution
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Explain any four importance of stock market from the viewpoint of investors. |
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Answer» a.Dissemination of useful information: Stock exchange publishes useful information regarding price lists, quotations, etc., of securities through newspapers and journals. b.Ready market: Persons desirous of converting their shares into cash may easily do so through a member of stock exchange. c.Investors' interests protected: Stock exchanges formulate rules and regulations so that members may not exploit the investors. d.Genuine guidance about the securities listed: The investors can safely depend upon the information provided by the stock exchanges. e.Barriers of distance removed: Stock exchange removes the barriers of distance with regard to securities listed there. f. Knowledge of profit or loss on investments: The investors can estimate the profit or loss on the total amount of investments in securities, by comparing the original amount invested and the price of securities on a particular day. |
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