Services Of Stock Telephone Substitution To Investors Together With Companies

Services given past times Stock Exchange to Investors ↓

blogspot.com//search?q=what-is-stock-exchange-its-definitions">Stock exchange provides liquidity (i.e tardily convertibility to cash) to investment inwards securities. An investor tin sell his securities at whatever fourth dimension because of the laid upwardly marketplace provided past times the stock exchange. Stock telephone commutation provides tardily marketability to corporate securities.

Provides collateral value to securities : Stock telephone commutation provides amend value to securities equally collateral for a loan. This facilitates borrowing from a banking concern against securities on tardily terms.

Offers chance to participate inwards the industrial growth : Stock telephone commutation provides majuscule for industrial growth. It enables an investor to participate inwards the industrial evolution of the country.

Estimates the worth of securities : Stock telephone commutation provides the facility of knowing the worth (i.e truthful marketplace value) of investment due to quotations (i.e cost list) in addition to reports published regularly past times the exchange. This type of data guides investors equally regards their futurity investments. They tin buy or sell securities equally per the cost trends (i.e latest cost value) inwards the market.

Offers security inwards corporate investment : An investor tin invest his surplus coin (i.e extra money) inwards the listed securities alongside reasonable safety. The chance inwards such investment is reduced considerably due to the supervision of stock telephone commutation regime on listed companies. Moreover, securities are listed exclusively when the telephone commutation regime are satisfied equally regards legality in addition to solvency of fellowship concerned. Such scrutiny (detailed checking) avoids listing, of securities of unsound companies (i.e companies alongside bad fiscal status).

Services given past times Stock Exchange to Companies ↓

1. Widens marketplace for securities : Stock telephone commutation widens the marketplace for the listed securities in addition to enables the companies to collect majuscule for promotion, expansion in addition to modernization purpose. It indirectly provides fiscal back upwardly to companies / corporations.
2. Creates goodwill in addition to reputation : Stock telephone commutation enhances the goodwill in addition to the reputation of the companies whose securities are listed. Listing acts equally a grapheme certificate given to a company. It gives prestigious seat to company.
3. Facilitates fair pricing of listed securities : The marketplace cost of listed securities tends to endure slightly higher inwards relation to net turn a profit in addition to belongings values.
4. Provides amend reply from investors : Listed securities larn amend reply from the investor due to security in addition to security. Listing of securities is a unique service which stock exchanges offering to companies. It is a moral back upwardly given to stable companies.
5. Facilitates quick selling of securities : Stock telephone commutation enables companies to sell their securities easily in addition to quickly. This is natural equally investors e'er prefer to invest coin inwards listed securities.

Service given past times Stock Exchange to Economy ↓

1. Brings economical development : Stock exchanges brings rapid economical evolution through mobilization of funds for productive purposes. This facilitates the procedure of economical growth.

JJ
6:53 PM 

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