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Financial System In India

 Money Market :The money market is


a place for trading in money and short-
term financial assets that are close
substitutes for money.
 Money Market Instruments:
1)Commercial Banks
2)Treasury Bills
3)Call & short notice money

 Capital Market Refers to the
institutional arrangements for facilitating
the borrowing and lending of long-term
funds.

Components of Capital Markets:


1)Primary Market
2)Secondary Market
3)Financial Institution

National stock exchange
 NSE was recognized as a Stock exchange in
April 1993.
 It is the World's third largest Stock Exchange
in terms of transactions.
 NSE is India's largest Stock Exchange .
 NSE was promoted by leading Financial
Institutions .
 There are 1,381 companies listed at NSE .
 NSE is the first to allow short selling.

National Stock Exchange at Bandra Kurla
Complex, Mumbai
Objectives
 Establishing nationwide trading facility for all types of
securities
 Ensuring equal access to investors all over the country through
an appropriate telecommunication network.
 Providing fair, efficient & transparent securities market using
electronic trading system.
 Meeting International benchmarks and standards.
NSE's markets
 Equity or Capital Markets (NSE's market share
is over 65%)
 Futures & Options or Derivatives Market
(NSE's market share over 99.5%)
 Wholesale Debt Market (WDM)
 Mutual Funds (MF)
 Initial Public Offerings (IPO)

Working Hours
 NSE's normal trading sessions are from 9:55am to
03:30pm on all days of the week except Saturdays,
Sundays and holidays declared by the Exchange in
advance.

 Geographic Distribution
 Over 2600 trading terminals
 24 hour Network monitoring system in over 160
cities.

Membership in NSE
 There are no entry/exist barriers to membership in
NSE anybody can become member by complying
with the prescribed eligibility criteria and exit by
surrendering hidden/over cost.
 The minimum prescribed qualification.
 The members are required to have an interest free
cash deposit of Rs.25 lakhs.
 Minimum two directors in case the applicant is a
corporate of which one should be a whole time
direction

Technology
 NEAT
 National Exchange for Automated Trading
 (NEAT), is a client server based application.
 At the server end all trading information is stored in an memory
database to achieve minimum response time and maximum
system availability for users.
 It has uptime record of 99.7%.
 For all trades entered into NEAT system, there is uniform
response time of less than one second.

Major Indices
 S&P CNX Nifty
 CNX Nifty Junior
 CNX 100
 S&P CNX 500
 CNX Midcap
 Nifty Midcap 50
 CNX Midcap 200


Powers and Functions of SEBI
 Regulating the business in Stock exchanges and any
other securities market.
 Prohibiting insider trading in securities.
 Promoting investors education and training of
intermediaries of securities markets.
 Conducting research to see that investing in stocks is
safe and profitable.
 Prohibiting fraudulent and unfair trade
 practices relating to securities markets

Conclusion
 Startinvesting
 Keep investing
 Invest smart

 Thank You!!!!

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