Characteristics of a stock exchange, Financial Management

Assignment Help:

Characteristics of a Stock Exchange

The requirements for a stock exchange to act as a platform for buying and selling securities is dependant upon the trading prerequisites.
Some of the prerequisites are:

A marketplace that promotes the buying and selling of securities.
The marketplace should be equally accessible to all participants.
The marketplace should be reasonably fair and unbiased.
The cost of participation in the marketplace represents a reasonably low percentage of the overall cost of the goods traded.
There is a free flow of information regarding the rules of the market and the trades that occur on the market.
Investors should look for the above prerequisites while taking up trading activity on any stock exchange.

Related Discussions:- Characteristics of a stock exchange

What can financial institution often do for deficit econmic, What can a fin...

What can a financial institution often do for a deficit economic unit (DEU) that it would have difficulty doing for itself if the DEU were to deal directly with an SEU? SEUs us

Types of t-bills, Types of T-Bills In the US markets, though there ar...

Types of T-Bills In the US markets, though there are many types of T-bills, they can be broadly classified into two types - regular-series bills and irregular-series bills.

Factors determining dividend policy, Q. Factors Determining Dividend Policy...

Q. Factors Determining Dividend Policy? (1) Financial Needs of the Firm: - Financial requirement of a firm are directly related to the investment opportunities available to it.

Why do financial managers calculate the marginal tax rate, Why do financial...

Why do financial managers calculate the marginal tax rate? Financial managers make use of marginal tax rates to estimate the future after-tax cash flows from investments. As th

Types of warrants, Types of Warrants The warrants can be classified int...

Types of Warrants The warrants can be classified into different types. They are: Detachable Warrants These warrants are issued with most debentures, like convertible o

Relative costs and benefits, Q. Relative costs and benefits? Option 1-...

Q. Relative costs and benefits? Option 1- Factoring Reduction in receivables days = 15 days Reduction in receivables =15/365* £20m = £821916 Option 2 - The

What interest rate is required to yield a balance, Q. A sum of $2,500 is d...

Q. A sum of $2,500 is deposited in a bank account that pays 5.25% interest compounded weekly. How long will it take for the deposit to double? How long will it take you to accrue

Define how the market determine the fair value of a bond, How does the mark...

How does the market determine the fair value of a bond? The bond’s fair value is the present value of the bond's coupon interest payments plus the present value of the face value

State the major decision of financial management, State the major decision ...

State the major decision of financial management The major decision of financial management is the decision relating to dividend policy. The dividend must be analysed in relat

Debt ratio, Calculate the sustainable growth rate

Calculate the sustainable growth rate

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages