The investors could be domestic or foreign. Institutional investors – These are typically financial institutions like banks, Asset Management Companies (AMC), insurance companies, pension funds, etc. Retail investors – These are investors who invest in the stock market directly. In the stock market, traders and investors have different objectives, strategies and modes of approaching financial markets. On the other hand, if you are looking to buy into a security for a short-term horizon with the intention of profiting from price fluctuation in a stock, you are regarded as a trader. ![]() But when you invest in a publicly listed company in the stock exchange, you are regarded as an investor. You may know that trading and investing are two very different activities. Now we come to the most important participant in the stock market - investors and traders such as you. When a company makes an Initial Public Offer (IPO), it becomes publicly traded, which means it introduces itself in the stock exchange. India has two premier stock exchanges include National Stock Exchange (NSE) and the and BSE Limited (BSE).Įvery share that you see available to be purchased or sold in the stock market today are those issued by publicly traded companies. It facilitates the registered stockbrokers and investors to transact in securities electronically. The stock exchange also known as a securities exchange is a trading platform. Let's look into the second participant of the stock market - the stock exchange.
0 Comments
Leave a Reply. |