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SECURITIES MARKET

SECURITIES MARKET

A market where securities are sold and purchased is called security market. There are five types of market.

  • Primary Market: where first time company issue its securiteis
  • Secondary Market: issued securiteis are sold and purchased
  • Money Market: T.bill or commercial paper less than or equal to one year
  • Capital Market
  • Over the Counter Market (OTC): electronicaly


Primary Market:
The market where the company issued securities for the first time. Two types of way to issue shares

  • Direct Placement
  • Indirect Placement


Direct Placement:
In direct placement the company issue securities directly to the invstor.The company cannot use intermediaries for selling thair securites.
direct placement
IPO= intial public offering
The price at which the company issue its security first time in the market is called IPO

Indirect Placement:
When the company issued its security for the first time in the market by useing the intermedires is called indirect placement.

indirect placement

Incestment Banks:
under writing on low price
best effort offering (bank face the risk)


INVESTMENT AND PORTFOLIO MANAGEMENT
INVESTMENT VS SPECULATION AND GAMBLING
TYPES OF INVESTOR
INVESTMENT COMPANIES
TYPES OF MUTUAL FUNDS
TYPES OF BONDS FUNDS
MONEY MARKET FUNDS
SECURITIES MARKET
TYPES OF INDEX
TYPES OF BROKERS
BROKER'S ACCOUNT
MARGINAL ACCOUNT
ORDER AND ITS TYPES
RISK AND ITS TYPES
RETURN PORTFOLIO ANALYSIS
RISK PORTFOLIO ANALYSIS
RISK AND RETURN OF AN INDIVIDUAL SECURITIES
ANALYSIS OF COMMON STOCK VALUATION
CAPM MODEL (CAPITAL ASSET PRICING MODEL)
MARKOWITZ MODEL


MBA NOTES INVESTMENT AND PORTFOLIO MANAGEMENT

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