About Stock Market

Stock market is something which you cannot predict what is going to happen in
the market tomorrow without proper analyzes of market. So, it is always
preferable to go for some professional help if you wish to invest in the Indian
stock market.

What Is NSE?

National Stock Exchange of India or in short NSE happens to be India’s largest

Stock Exchange and World’s third largest stock exchange in terms of
transactions. It is located in Mumbai and was incorporated in November 1992
as a tax-paying company. It was in April 1993 that NSE was recognized as
stock exchange under the Securities Contract Act 1956.

Objectives

The main objective behind NSE is to establish trading facility nationwide for all
types of securities. It also ensures equal access to all investors in the country
through the process of an appropriate telecommunication network. NSE was
able to achieve its objectives within a very short span of time. NSE has national
reach to major market segments like equity or capital markets, futures and
options or derivatives market, wholesale debt market, mutual funds, initial
public offerings and so on. There is also a concept of day tradingwhich suits
well for short term investments. But there are investors who think that this type
of trading is quite risky.

About BSE

BSE or Bombay Stock Exchange is the oldest stock exchange in Asia that was
established in 1875. What’s more, it is also the biggest stock exchange in the
world. BSE is located at Dalal Street, Mumbai.

Bombay Stock Exchange and National Stock Exchange are both major stock
exchange in India. But there is a difference between NSE and BSE. Investors
put their money in the stock market in order to reap huge benefits from their
investment. But nobody can predict the market as we have already discussed.
Also any stock market is decided by its country’s growth. But you should be
aware that it requires a lot of patience. The market tumbles down and this is the
reason why investors fear of investing their money.

 
The Sensex is an "index". What is an index? An index is basically an indicator.
It gives you a general idea about whether most of the stocks have gone up or
most of the stocks have gone down. 

The Sensex is an indicator of all the major companies of the BSE. 

The Nifty is an indicator of all the major companies of the NSE.  

If the Sensex goes up, it means that the prices of the stocks of most of the major
companies on the BSE have gone up. If the Sensex goes down, this tells you
that the stock price of most of the major stocks on the BSE have gone down. 

Just like the Sensex represents the top stocks of the BSE, the Nifty represents
the top stocks of the NSE. 

Just in case you are confused, the BSE is the Bombay Stock Exchange and the
NSE is the National Stock Exchange. The BSE is situated at Bombay and the
NSE is situated at Mumbai. These are the major stock exchanges in the country.
There are other stock exchanges like the Calcutta Stock Exchange etc. but they
are not as popular as the BSE and the NSE.Most of the stock trading in the
country is done though the BSE & the NSE. 

Equity

Equity consists of funds that shareholders invest in a company plus a certain

amount of profit earned by them that is retained by the company for further
growth and expansion.

Equity is a primary asset class when it comes to investing and diversifying

one’s portfolio. Trading in equity needs in-depth analysis and research of
the share market, services that Angel Broking offers to all of its investors.
Additionally, derivatives allow equity to diversify beyond just shares into
securities such as bonds, commodities and currencies.

Trading Equity

Equity may be traded in the primary market, when a company makes an Initial
Public Offering (IPO) and new securities may be bought. Shares that have
already been issued are bought and sold in the secondary market. Investors may
also own private equity, that is, shares of a company that is still private and not
listed on the bourses. In order to trade in equities, investors must have a demat
account and trading account, and Angel Broking offers both of these.

Mutual Fund

A mutual fund is a type of professionally managed collective investment

scheme that pools money from many investors to purchase securities. While
there is no legal definition of the term "mutual fund", it is most commonly
applied only to those collective investment vehicles that are regulated and sold
to the general public. They are sometimes referred to as "investment
companies" or "registered investment companies.

Types Of Mutual Fund

Two types

(1)Open-end funds
Open-end mutual funds must be willing to buy back their shares from their
investors at the end of every business day at the net asset value computed that
day. Most open-end funds also sell shares to the public every business day;
these shares are also priced at net asset value. A professional investment
manager oversees the portfolio, buying and selling securities as appropriate. The
total investment in the fund will vary based on share purchases, share
redemptions and fluctuation in market valuation. There is no legal limit on the
number of shares that can be issued.
Open-end funds are the most common type of mutual fund. At the end of 2011,
there were 7,581 open-end mutual funds in the United States with combined
assets of $11.6 trillion.

(2)Closed-end funds
Closed-end funds generally issue shares to the public only once, when they are
created through an initial public offering. Their shares are then listed for trading
on a stock exchange. Investors who no longer wish to invest in the fund cannot
sell their shares back to the fund (as they can with an open-end fund). Instead,
they must sell their shares to another investor in the market; the price they
receive may be significantly different from net asset value. It may be at a
"premium" to net asset value (meaning that it is higher than net asset value) or,
more commonly, at a "discount" to net asset value (meaning that it is lower than
net asset value). A professional investment manager oversees the portfolio,
buying and selling securities as appropriate.
At the end of 2011, there were 634 closed-end funds in the United States with
combined assets of $239 billion.

What Is a Derivative?
A derivative is a financial security with a value that is reliant upon or derived
from, an underlying asset or group of assets—a benchmark. The derivative itself
is a contract between two or more parties, and the derivative derives its price
from fluctuations in the underlying asset.

The most common underlying assets for derivatives are stocks, bonds,
commodities, currencies, interest rates, and market indexes. These assets are
commonly purchased through brokerages.

Derivatives can trade over-the-counter (OTC) or on an exchange. OTC

derivatives constitute a greater proportion of the derivatives market. OTC-
traded derivatives, generally have a greater possibility of counterparty risk.
Counterparty risk is the danger that one of the parties involved in the transaction
might default. These parties trade between two private parties and are
unregulated.

Questions You Can Prepare For

1. Tell us about yourself?

A – Discuss about yourself like your name, education, family background.

2. Any Achievement in your life till now?

A – Discuss about any achievement what you kept as your goal and that you
have achieved too

may be personal or professional or related to your education.

3. What are your strengths and weaknesses?

 A- Strengths – I believe I am a hard worker, I put my efforts up to 100%, I

am punctual, I am result oriented and plan my goals accordingly., I am honest

Weakness – I trust to unknown people easily, I am too kind for people who do
not deserve much.
 4. Why have you applied for this job?

A - I want to make my career in stock market and this company is leading stock
broking firm and I believe if I all put my 100% efforts in growth of the
company that will add up to me as well my career growth.

5. Any Further Education Plan?

A – No Right now I am willing to focus on my job career and for further studies
I am may join some distance education courses where I can balance my job and
studies.

6. What salary you are looking for?

A – As per the company norms, as a fresher I am looking for right opportunity

to boost my job career so salary is I keep on secondary priority {don’t ask for
very high salary package as may get rejected because of same}