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Chapter 13 of 20
Syllabus

Financial Market

Telangana Open School (TOSS) · Class 12 · Business Studies

Complete topic list for Financial Market in Telangana Open School (TOSS) Class 12 Business Studies. Key concepts, sub-topics, and what to focus on for board exams.

52 questions30 flashcards5 concepts

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4 Topics · Telangana Open School (TOSS) Class 12 Business Studies

Topics in Financial Market

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1. Meaning and Functions of Financial Market

  • Financial market is a system that connects investors (lenders) with borrowers (users) for transfer of funds.
  • It does not deal with physical money but with financial instruments like bills, shares, and debentures.
  • Three main functions: Price Discovery, Providing Liquidity, and Reducing Transaction Costs.
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2. Types of Financial Markets

  • Two main types: Money Market and Capital Market.
  • Money Market: Deals in short-term funds (up to 1 year).
  • Capital Market: Deals in medium and long-term funds (more than 1 year).
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3. Money Market Instruments

  • Call Money: Borrowed/lent between banks for 1 day to 15 days.
  • Treasury Bill: Issued by RBI, maturity up to 364 days, sold at discount.
  • Commercial Paper: Issued by reputed companies, unsecured, 15 days to 1 year.
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4. Capital Market: Primary and Secondary Markets

  • Capital Market has two parts: Primary Market and Secondary Market.
  • Primary Market: For new issues (IPOs, FPOs), funds go directly to the company.
  • Secondary Market: For trading existing securities (stock exchange), no new funds to company.

Key Concepts

Central concept: Financial Market

Money MarketCapital MarketFunctions of Financial MarketTypes of Financial InstrumentsRegulatory BodiesPrimary MarketSecondary MarketStock Exchange

Frequently Asked Questions

What are the important topics in Financial Market for Telangana Open School (TOSS) Class 12 Business Studies?
Financial Market covers several key topics that are frequently asked in Telangana Open School (TOSS) Class 12 board exams. Focus on the core concepts listed on this page and practise related questions to build confidence.
How to score full marks in Financial Market — Telangana Open School (TOSS) Class 12 Business Studies?
Understand the core concepts first, then work through the 52 practice questions available for this chapter. Revise formulas and definitions regularly, and use flashcards for quick recall before the exam.

Sources & Official References

Content is aligned to the official syllabus. Refer to the board website for the latest curriculum.

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Quizzes, flashcards, AI doubt-solver and a step-by-step study plan for Telangana Open School (TOSS) Class 12 Business Studies.