हिंदी

Answer Each of These Questions in About Fifteen Words: What is a Secondary Capital Market? - Entrepreneurship

Advertisements
Advertisements

प्रश्न

Answer each of these questions in about fifteen words:

What is a secondary capital market?

एक पंक्ति में उत्तर

उत्तर

Any transaction in shares or debentures subsequent to its primary offering is called “Secondary Transaction”. Thus, the secondary capital market, which is also known as old securities market or stock exchange deals- with buying and selling of old securities i.e. the market securities issued earlier are sold by existing investors in this market.

shaalaa.com
Types of Financial Market - Capital Market
  क्या इस प्रश्न या उत्तर में कोई त्रुटि है?
अध्याय 6: Resource Mobilization - Section C: Stock Exchange [पृष्ठ २४७]

APPEARS IN

सीबीएसई Entrepreneurship Class 12
अध्याय 6 Resource Mobilization
Section C: Stock Exchange | Q 1.3 | पृष्ठ २४७

संबंधित प्रश्न

Explain the recent Capital Market reforms in India.


Answer each of these questions in about fifteen words:

Name the two players in the capital market.


Answer each of these questions in about fifteen words

 identify the method of raising additional finance from existing shareholders by offering securities to them on pro-rata basis.


Answer each of these questions in about fifteen words

What is Right Issue?


Answer each of these questions in about fifteen words:

What is the need of secondary market?


Answer each of these questions in about fifteen words:

In what forms company can raise capital through primary market?


Answer each of these questions in about one hundred and fifty words:

State the nature of money market. Who are the major participants in the money market?


Answer each of these questions in about one hundred and fifty words:

What do you understand by capital market? How can the capital market in India be broadly classified into different categories?


Answer each of these questions in about one hundred and fifty words:

Write down the sectors of organized and unorganized market.


High Order Thinking Skills

Why primary market is also known as new issue market? Give one reason.


Differentiate between the Money Market and Capital Market.


Primary market is also known as new issue market.


Explain the following term/concept.

Secondary market


Complete the correlation.

Primary market: New issues launched to raise capital:: ______: Old issues through stock market.


Policy that aims at managing the quantity of money in order to meet the requirements of different sectors of the economy and to increase the pace of economic growth –


Bank Rate means.


What are the methods of floatation in Primary Market?


Read the following text and answer the following question on the basis of the same:

ISQM SOLAR Limited is searching for options to raise Rs. 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI Pvr LTD. to suggest options for the same. DHAN LAXMI PVI LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of Rs. 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. Rs. 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of Rs. 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise Rs. 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.

"Rs. 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital."

Identify the method of floatation of new issues in the primary market being discussed above, which the company has decided to use:


Read the following text and answer the following question on the basis of the same:

ISQM SOLAR Limited is searching for options to raise Rs. 20,000 crores from the primary market for diversification and modernisation of existing projects. It hired the services of a renowned financial consultancy firm, DHAN LAXMI Pvr LTD. to suggest options for the same. DHAN LAXMI PVI LTD. suggested a list of options to the Board of Directors of the company. It was decided that for the immediate requirement of Rs. 1,500 crores, the company will give a privilege to existing shareholders to subscribe to a new issue of shares according to the terms and conditions of the company. Rs. 4,500 crores would be raised by allotment of securities to a consortium of financial institutions, instead of inviting subscription from the public by making a direct appeal to investors to raise capital. It was further decided to raise capital to the tune of Rs. 6,000 crores through an issuing house. All these options were accepted by the Board of Directors. The Board further decided to raise Rs. 8,000 crores through the online system of the stock exchange by entering into an agreement with the exchange.

Identify the reason which has made the firm raise funds from the institutional investors :


Which of the following statements is incorrect?


Identify the place where transaction happens in shares or debentures subsequent to its primary offering.


Which among the following is NOT a method of raising the required capital in the primary market?


Complete the correlation:

Money market : Short term funds :: ______ : Long term funds.


State the following statements are True or False.

Capital market is the market for long-term funds.


Complete the correlation:

Money market : Short term funds :: ______ : Long term funds


Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×