PRESENTATION ON

ROLE &IMPORTANCE OF
STOCK EXCHANGE
Meaning
Stock exchange is a place where buyers and
sellers are come together for undertaking transactions
involving sale of securities.
Definition
Husband and dockeray defines,
“Securities or stock exchange are privately
organized markets which are used to facilitate trading
in securities.”

Securities contracts act of 1956 defines,

“an association,organisation or body of
individuals, incorporation, established for the purpose
of assisting, regulating and controlling business in
buying, selling and dealing in securities.”
Role and importance
stock exchange
Convenient meeting places for sellers and buyers.
Permanent market for securities.
Stock exchange facilitate price discovery.
Stock exchange reduces cost of transaction.
Provide ready and continuous market for
securities.
Liquidity and marketability.
Protect the genuine investors.
 Flow of capital to profitable venture.
 Promotion of investment.
 Help capital formation.
 Give mobility to capital.
 Exercise control over the working of companies.
 Marketing of new issues.
 Companies &government to raise funds from the investors.
 Providing forecasting services.
 Miscellaneous services.
Stock exchange in India.
 Ahmadabad stock exchange - Ahmadabad
 Bangalore stock exchange - Bangalore
 Bhubaneswar stock exchange – Bhubaneswar
 Bombay stock exchange - Mumbai
 Calculatta stock exchange - Calcutta
 Cochin stock exchange - cochin
 Coimbatore stock exchange - Coimbatore
 Delhi stock exchange - Delhi
 Gauhati stock exchange - gauhati
 Hyderabad stock exchange -Hyderabad
 Indore stock exchange -Indore
 Jaipur stock exchange -Jaipur
 Kanpur stock exchange
 Ludhiana stock exchange – Ludhiana
 Madras stock exchange - Chennai
 Magadh stock exchange – Patna
 Mangalore stock exchange - Mangalore
 Pune stock exchange - Pune
 Saurashtra stock exchange -Rajkot
 Vadodara stock exchange -Vadodara
 NSE - Mumbai
 OTCEI stock exchange - Mumbai
 M.P stock exchange - Indore
Reference
Business studies - B.S Raman
SAPM - Punithavathy Pandian
THANK YOU..