Indian Security Market

Paper Code: 
SBFS 201
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

To provide an in-depth knowledge on operations of financial markets in India.

12.00
Unit I: 
Securities Market and its types

Securities Market :
Components, Evolution of Indian securities market, Significance and Functions. Participants of Security market, Regulators of Security market.
Types of security market: Primary market and secondary market , government securities market , Derivative markets ,commodity market , foreign exchange market.

12.00
Unit II: 
Primary Market

Primary Market:
Functions, participants. IPO- Methods followed, Green shoe option, red herring prospectus. On- line IPOs.,
Merchant banking; Role of Merchant Bankers in Primary Market.
Euro issues: Instruments used to raise funds in the International Market.

12.00
Unit III: 
Secondary Market

Definition and functions of Stock Exchanges, Stock Exchanges in India: NSE, BSE, OTCEI and overseas stock exchanges, stock market Indices, recent development in stock exchanges.
Listing of securities: meaning- merits and demerits- listing requirements, procedure, delisting. Trading and settlement mechanism. Unfair trade practices.

12.00
Unit IV: 
Trading system in security market

Process of obtaining Membership at BSE and NSE, Client registration procedures, rules and regulations, Types of orders, Authenticate orders, order placement timing.
BSE Trading systems and understanding BOLT screen : trade functions on BOLT screen, NSE Trading systems and understanding NEAT screen ,Dematerialisation of Shares, Understand various forms – trading a/c and de-mat a/c, Rematerialization

12.00
Unit V: 
Basic Terminology of Security market

Types of stocks, indices, exchanges, brokerage accounts, order types, bull / bear markets, Introductory concepts: margin, short selling, stock splits, market capitalization, dividends, stock market psychology, Introduction to stock chart terminology / concepts: trends, channels, support and resistance.
Risks in Equity Markets, methods of reducing risks.

Essential Readings: 

• Bharti V. Pathak ‘Indian Financial System’.Pearson publication. 5edition.
• Bhole. L.M. “Financial Markets and Institutions’ Tata Mc Graw Hill, New Delhi.
• NCFM and NISM Modules
• Gordan, Natrajan” Financial Markets & Management of Financial Services” Himalayan publication, New Delhi.
• Gold Smith.R.W. “Financial Institutions”
• Khan M.Y “Indian Financial Theory and Practice”, Vikas Publishing House.
• Vasant Desai, “Indian Financial System”, Himalayan Publication

Academic Year: