After reading this article you will learn about the Organisation and Growth of Stock Exchanges. Stock Exchanges in India are organised in any of the following forms: (a) Voluntary, non-profit making associations, e.g., Bombay, Ahmedabad and Indore; (b) Public Limited Companies such as Calcutta, Delhi and Bangalore stock exchanges; and (c) Company Limited by guarantee, e.g.; Hyderabad and Madras stock [...]
This article throws light upon the six major weaknesses of stock exchange in India. The weaknesses are: 1. Lack of Professionalism 2. Domination of Financial Institutions 3. Poor Liquidity 4. Domination by Big Operators 5. Less Floating Stocks 6. Speculative Trading. Weakness # 1. Lack of Professionalism: The majority of stock brokers lack professionalism. They lack proper education, business skills, infra-structural [...]
This article throws light upon the seven main factors influencing prices on stock exchanges. The factors are: 1. Financial Position of the Company 2. Demand and Supply Position 3. Role of Financial Institutions 4. Lending Rates 5. Trade Cycles 6. Speculation Activities 7. Government Control. Prices on Stock Exchange: Factor # 1. Financial Position of the Company: The financial position [...]