Stock Exchange
ICSE · Class 11 · Commerce
Quick revision notes for Stock Exchange — ICSE Class 11 Commerce. Key concepts, formulas, and definitions for last-minute revision.
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Key Topics to Revise
Meaning, Definitions and Basic Idea of Stock Exchange
- A stock exchange is a market for buying and selling shares, debentures, stocks, bonds and other securities.
- It allows existing securities to be sold to other investors.
- It is called a market for investment as well as speculation.
Characteristics and Importance of Stock Exchange
- Stock exchange is a place where securities issued by companies, government and other authorities are bought and sold.
- It is run by an association, organisation or body of individuals.
- Its area of operation is well defined.
Functions and Services of Stock Exchange
- Stock exchange helps in distribution of new securities.
- It ensures safety of funds by working under rules and by checking manipulation and over-trading.
- It provides continuous marketability of securities.
Types of Stock Exchanges in India: BSE and NSE
- India has two major stock exchanges: BSE and NSE.
- BSE stands for Bombay Stock Exchange.
- BSE is Asia's oldest stock exchange, established in 1875 in Mumbai.
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