The ins and outs of Share Market
The share market is also known as the equity market or stock market. It is a type of financial market where company stocks or shares are bought and sold through over the counter markets or exchanges. The stock market comprises one of the most important segments of a market economy since it offers the companies the accessibility to capital and investors a share of ownership in the company. In addition, investors also gain from the profits earned by the company that are distributed among them as dividends. Stocks are traded electronically or on the exchange floor through the open outcry method.
Primary market and secondary market
The stock market can be categorized into two main types and they are as follows:
1) Primary market
Under the primary market, the company share
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