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pital Market, , P'R'R, , 165, , .INTRODUCTION, , ital market contains financial, instruments of maturity perio, eriod exceding one ycar., long-term transactions. Capital, market, are, relatively less liquid in, arison to the money market instruments. instruments, Capital market is, however,, , Capita, , It, involves, c o m p a r i s o, , referredto, the stock, , markets, , commoniy, in the, country. From the stock market, kets point of view, capital, and secondary market. The, primary market deals with, , Teot COmprises both primary, new issues made, , m a r k e t, , es, , ing, , made by, , the, , securities. An, , the secondary market., , in, , companies. The secondary market relates to the trading, in the, can, buy securities in the primary market, but can sell only, , investor, , 2MEANING, , Capital Market, , is a market for, medium-term and long-term funds for a, aer 1 vear. In other words, Capital market is a market for borrowing and lending or, of, , period, , medium term and long term funds. It involves medium term and long term transaction., , Capital market 1s a growing component of the financial system in India. It plays an, extremely important role in promoting and sustaining the growth of an ecornomy. The, capital market differs from the money market in terms of maturity, structure and, , liquidity. The main participants in the capital market are banks, financial institutions,, , financial intermediaries etc. SEBI is the supreme regulator of the Indian capital market., ROLE OF CAPITAL MARKET, , 3., , Significance /, , Role of, , capital market are, 1. Transformation of Savings into Investment, of securities to mobilizes savings from the, Capital market provides various typesinvestors., It provides intermediation between, households to the producers who a r e the, basis., savers and investors on a long-term, Flow of Funds, , 2., , funds from less profitable to more profitable, It channelises the allocation of the, and idle, utilization of resources. It enables surplus, channels. It thus leads to optimum, , funds to be used more effectively, efficiently and productively., , 3., , Macro-Economics Financial Balancing, , funds, Capital market mobilises, appropriate financial intermediation., , from, , surplus, , units, , Continuous Market, , Ready Made and, , market provides for, , continuous,, , regular, , to, , deficit, , units, , through, , readymade market for buying, , and, , apital, and selling of securities., , securities and shares., sales of new, with, deals, securities and shares., Frimary Market- which, and selling of old, in, buying, deals, which, econdary Market, securities more liquid., i n v e s t m e n t in, -, , uch marketability, , makes, , Industrial Development, apital, , market, , unpro, Seauctive, , sector, , in, , productive activities, , rather than, , invest, to industrial, e n c o u r a g e s people, adequate finance, and, cheap, etc., provides, It, like gold etc., upgradation of technology, to, , modernizaton,, , like expansion,, ctor, various p u r p o s e s, TOr, and thus leads to conomic development., , Generates Employment, , significant Deiets, has provided, higher wages. By, , market, Capi, apital, intly, it has led to more jo, , tate, , ate, , In, , Capital, , to, , the average citizen., , Most, , raising the productivity growth, , h e economy to operate, operate at a lower unemployment, the economy to, enabled, th has led to faster gains in real wages., market has, , addition, highe, , productivity, , growth

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Husdnews, , lcom)., , 166, , 7., , The, , Foreign Capital, , ment has, , governm, , country., in the, capit, to, forcign capital, of, inflow, facilitates, market, enables generate, This, Capital, country., the, n, liberalized Foreign Direct nvestment (FDI) in, securities. In, other, and, aevelopment, of, economiC, markets by wav of bonds, leads to, n s rom toreign, and thus, technologv,, Capital but also foreign, , gn, , the country., , 8., , Benefits to Investors, The, , capital, , market, , tprovides, , many ways, offering, s a v e r s by, , helps the investors in, returns to, , better, , the, , interests, , of the, , investors, , Tt sateguards, the event, Compensation Fund in, , 9., , alternatives in tho, , them from, , portfolio investment., , the, , numerous, , by compensating, default., of fraud and, , Exchange, Economic Growth, , the, , Stock, , and development of an, , vital role in the growth, an important, apital market plays funds in developmental and productive, economy by channelizing, , investments., , This, , lead, , to economic development., , MARKET, INDIAN CAPITAL, THE, OF, 4. STRUCTURE/COMPONENTS, of the Indian capital market, substantial development, Over the years, there has been a, its structure has grossly changed., sub-markets. In recent years,, various, t, comprises, in., institutions have cropped, Various new instruments and new, such a s :, classified into various categories, Indian capital market broadly, market, Government Securities Market / Gilt edged, , is, , i), new and old), ii) Industrial Securities Market (both, Institutions and, ii) Development Financial, iv) Financial Intermediaries, , This is shown in the following chart:, Capital Market in, , Government, Securities Market, , India, , Industrial, , Developmental, , Financial, , Securities Market, , Financial Institutions, , Intermediaries, Merchant, Bankers, , Secondary Market, , Primary Market, , Leasing, , Companies, IFCI, , ICICI, , IDBI, , UTI, , SFC, , Mutual, Fund, , 1., , Government Securities Market, , Government Securities Market is also known as the Gilt-edged market. It deals i, government and semi-government securities, which are backed by RBI. The governmet, securities are, anteed by the government and are risk free. As the security are risk free, , ranteedby, they are known as giltedged i.e., the best quality securities. The returns are guar, the government and there is no scope for speculation and manipulation. The, , transactio, , in the government securities market are very large., est, , an, , Government securities have a fixed maturity period and fixed rate of interest. Intere, oovernment securities is payable half yearly and carry tax exemption.

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CiapitaM, l, arket, , 167, The, , investors, , utions, , in the, , gilt-edged market, nmercial banks,, LIC, GIC, , are, , instituti, , are, , edominantly, predk, , institutions. These, , and provident, fund. RBI play a dominant role, provide, in this market. Government securities are, Promissory notes and (iüi) Bearer bonds. issued in the form of (i), (i. Stock certificat, , a, , India, most government securities are in the form, of promissory note., Thegrowth of government securities, market depend: on the public debt programme, , o ft h e g o v e r n m e n t ., , I n d u s t r i, , 2, , Securities Market, , Industrial Securit, , Market is a market of shares,and debentures or bonds of old and, , irms. Industrial Securities Market is a market where industries can raise, issuin, appropriate instruments., debt by, , newf, , their, , capita, , or, , tis divided into two categories:, a) Primary Market, , b) Secondary Market, Primary Market : Primary Market deals with new issue made by the companies., ence it is called New Issue Market. In primary market, fresh capital is raised by, companies by issuing new shares, bonds, units of mutual funds and debentures., compa, , Secondary Market: Secondary Market is a market for secondary sale of securities, Hence it is called Old Issue Market. It deals with existing securities ie. old securities and, , debentures that are already issued by companies., An investor, , buy, , can, , securities in the primary market, but, , can, , sell, , only, , in the, , secondary market., , 3., , Developmental Financial Institutions, known, , Public Sector Financial, , Development Financial Institutions is also, institutions like IFCI (Industrial Finance, Institutions. It comprises of various financial, India 1964), ICICI, IDBI (Industrial Development Bank of, India, of, 1948),, Corporation, Financial, of India 1955), SFCs (State, (Industrial Credit and Investment Corporation, Committee, Narasimham, Trust of India 1964), etc. The, Corporations 1951), UTI (The Unit, These institutions, Institutions., Financial, (1991) called these institutions as Developmental market., of, play a very important role in the growth capital, These, new, , They, instution, , companies., debentures of old and, sector., industrial, loans to, medium-term and long-term, the shares and, , subscribe to, , provide, , as, , 4FinancialIntermediaries, , market., latest arrival in Indian capital, the, Financial, etc., Mutual fund, leasing companies, ntermediaries include Merchant Bank,, , Financial, , Intermediaries are, , advice corporate, , on, , fund, , writing of new issues,, Merchant Bank, financial aspects., raising and other, invest them in stock market, funds from public and, mobilise, Mutual Funds, and machinery., finances for acquiring plant, Leasing Companies - providemiddleman in suPplying funds from surplus units to, as a, enables surplus and idle, inancial intermediaries act, utilization of funds. It, -, , manage,, , under, , -, , deficit units. It thus leads to optimum, efficiently and productively., undstto be used, , more, , effectively,, , ROWTH OF CAPITAL, , MARKET IN, , INDIA, , made, market has, , tremendous, , growth in India., , Since independence, the capital, market in India:, Ce, to the growth of capital, contributed, factors have, oOwingpof, 1. Setting, various financial institutions, To, devol aevelop, Pment, , has set up, the government, in India, market, capital, , institutions., banks and financial, , a, , number of

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conomics (T.Y.B.Com.) (Sem, , Business, , 168, sral, , strial, Finance Corporation of India (IFCI) in 1948, Industriaredit, and, in, Development, in 1955. Industrial, , lnvestment Corporation (1CICI), Unit Trust of India (UT) in 1964, Industrial Reconstruct, 1964,, 64,Unit, , (IRCI) L i t e, , Financial, Insurance Corporation (LIC), State, , so on were, , also established., called Public, these institutions have been, , Developnmental financial institutions., , These, , institution, , were, , addition to, , this,, , 14 major commercial banks, , were, , (IDB), Corporation of India, Corporations (SFC) and, Bank of lndia, , financial institutions, medium and, , sector, , term funds to industrial sector., n, , or, , long, , provide, , nationalized in 1969 and 6 more, , banks were nationalized in 1980., , these, , V), , banks have contributed, financial institutions and development, , to the, , growth of capital market in India., 2., , Growth of underwriting business, , minimal due to, , business was quite, independence, the underwriting, business, institutional. In recent years, the underwriting, , Before, , financial, , rapidly, , due to, , public, , finäncial institutions and, , developed, , has, , been, , lack of, , growing, , banks. This has contributed, , to, , the development of capital market in India., 3., , Growth of mutual funds, , Mutual, , fund, , industry, , in India started in 1963 with, , the, , formation of Unit, , Trust of, , India (UT)., , mutual fund set up in 1987 followed, SBI Mutual Fund was the first public sector bank, and so on., National Bank Mutual Fund in 1989, by Canbank Mutual Fund in 1987, Punjabestablished its mutual fund in 1989., Life Insurance Corporation of India (LIC), under which all mutual, came into being,, In 1993, the first Mutual fund Regulations, Later on UTI was brought under SEBI regulation., funds, except UTI w e r e to be registered., mutual fund, increased in India. Thus the number of, Many foreign mutual funds also mutual fund houses mobilise fund from public and, houses went o n increasing. These, to the, investment by mutual funds have contributed, invest in industrial securities. The, of capital market in India., , growth, 4., , Credit Rating Agencies, The credit rating agencies a r e :, Credit, agency, , and Information Services of India Ltd., in India in 1987., set, , Rating, was, , (CRISIL), first, , credit, , up, , of India Ltd., Investment Information and Credit Rating Agency, up in 1991., Credit Analysis and Research Ltd. (CARE), was set up in 1993., , (ICRA),, , rating, , was set, , The credit rating agencies help the investors to make decision of their investment. The, the, and invest in companies, on the other hand, investor rely on the credit rating agencies, term funds., companies obtain medium and long, in India., Thus all these credit rating agencies helps in the growth of capital market, Setting up of SEBI, The government of India set up the Securities Exchange Board of India (SEBI) in 1980, to reeulate the capital market. It was made a statutory body in 1992 to strengthen, 5., , capital market., , The main objectives of SEBI are, , i), ii), , to, to, , regulate the securities market, and, of, protect the interest investors in the capital market

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SEB control. and, m a r k e t ., , lead both, the, , 169, , and, , secondary market in the capital, develop, the, capital market in, India. capital market. Thus SEBI play, of, rowth, Merchant, important role in, Banking, chant, Mercha banking, was, merchant bankingactivity, Iicense to started in the lndian, capita market when RBI, Grindlays Indian capital, SEBI is operatec, ted to, rowth, , 6., , primary market, , of, , an, , bank in the country)., , Bank in 1967, (the oldest and, The Citibank set up its, merchant banking, State Bank of India started, the Merchant division in 1970., The, banks that, Division in 1972., followed SBI Banking, ) Central Bank of, were:, India,, , issued, , largest foreign, , commercial, , Bank of India, , Bank of Baroda, Standard, , it), , and, , Syndicate Bank in 1977, Chartered, Bank, and, United Bank of, United Commercial Mercantile Bank in 1978., Bank and Indian India,, Bank, Punjab National, Overseas Bank in, , iv) Among the, developed, , ICICI started merchant, , in 1991., , banks:, , late 1970s and, , Bank, Canara, , early 1980s., , banking activities in 1973 followed, , by IFCI in 1986 and IDBI, 1993, all merchant banks, has been, brought under the regulatory framework of, Merchant banking divisions, provides number of services to, i) management of, corporate sector., public issues, ii) financial consultancy, , Since, SEBI., , ii), , assisting new entrepreneurs, iv) evaluating new, projects, v) raising funds, through borrowing and equity issues, , vi) Corporate, The growth of, , restructuring etc., , COuntry., ., , merchant banking, , is due to, , Growing public confidence, , developmental activity throughout, , the, , Since, independence capital market has attracted the attention of, nvestors have shown, many investors., interest in the stock market., Securities. This has increased the investment in the They invest in primary and secondary, market, , ne growth of capital market., , capital, , and, , further contributed, , Increasing Awareness amongst investors, , in the recent years, there have been increasing awareness, capita, about the, almarket. Business newspapers, financial journals and among the public, Invest, have, magazines, made, the, Tor increasingly aware bout investment, in the, aware, opportunities, market., capital, This, has, ess, helped the investors to invest in the securities and has contributed, wth of, to the, apital market in India., ., , Liberalisation Measures, , The Government of India has liberalised, investment norms for NRIs,, orpora, harate bodies. Foreign Institutional Investors, (F) have been, , dehCapital, , Priores, , of, , market after, , getting registered with, Indian companies and can also invest, , SEBL., in, , They, , and overseas, permitted to invest in, can, , buy shares, , and, , securities without, stPermission of RBI. At present, more than 2000 Fls government, are, with SEBI. This, registered, Onsiat the confidence of foreign investors in the Indian capital, aDle., , market has increased, Further this has contributed to the growth of capital market.

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Business, , 170, , Economics, , (T,Y.B.Com.)(Sem -V), , 10. Legislative measures, , apital, , the, andthe, Securities Contracts, as Companies Act, the, activitio, regulate, and, Ons such, to control, government, enacted, the, (Control) Act were, by, ACt, , lssues, of the, , e, , market., capital, &ompanies Act 1956, was passed to protect the interest of investos, Contract (Regulation) Act 1956, , ne Securities, , stock exchanges, , function., Capital Issues (Control), , was, , passed, , to, , Act 1947, , was, , passed, , to, , to, , permit oniy recognized, , in, different, regulate investment, the, , ne, and to protect, diversion, of funds to non-essential activities, prevent, has, Sto, felt that the Act, was replaced in 1992 as it was, r s . Ihis Act, restrictive and was hampering the growth of the capital market., 6., , interest of, , become too, , CAPITAL MARKET REFORMS IN INDIA, Board of India (SEBI) in, , to, , of India set up the Securities Exchange, ne government, regulate, the capital market. It was made a statutory body, , 1988, , in 1992 to strengthen the, , capital market., , Folowing reforms were introduced by government and SEBI, , to, , strengthen, , the, , Indian, , Capital Market., , A. Primary Market Reforms, , B. Secondary Market Reforms, A., , Primary Market Reforms, , 1, , Disclosures, SEBI has introduced various guidelines and regulatory measures for capital issue., , Companies issuing capital are now required to disclose and clarify all material facts and, specific risk factors related to their projects., SEBI has also introduced code of advertisement for public issues to ensure fair and, , truthful disclosures., 2., , Underwriting Optional, , SEBI has made the underwriting of issue, optional in order to reduce the cost of public, issue. In case if the company fails to collect 90% of the amount, offered to the public, the, entire amount collected would be refunded to the investors., 3., , Credit, , Rating Agencies, , Many, rating agencies have been established to help investors to make decision, of their investment in various instruments and, protect them from risky ventures., If any company, to, a, issue, credit, , wants, , agencies., , bring, , public, , must, , get ratings from credit rating, , The credit rating agencies are:, , Credit, , Rating, , and, , Information Services of India Ltd., (CRISIL), first credit rating, Investment Information and Credit, Rating, of, , agency was set up in India in 1987., , Agency, , up in 1991., , India Ltd., , (ICRA),, , was, , set, , Credit Analysis and Research Ltd. (CARE), was set, up in 1993., The rating given by credit rating, is, agencies confined to, , nreference shares, , intended, 4, , to be an, , and, , short-term, instruments, and unbiased, , independent, , Foreign Institutional Investors (FlIs), , like, , fixed, , deposits, debentures,, , commercial paper. The rating, opinion of the, credit rating, , is, , agency., , ornment of India has liberalized norms for, Tmstitutional Investors (FIls) like mutual NRIs, and overseas, , corporate, getting registereu, , on permitted to invest in lndian capitalfunds, pension funds, investment, market after

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CapithalA larket, , 171, , Flls can buy shares and, debentures of Indian, ment securities without prior, , with S E B L, , can, , also invest in, , permission of RBI., present more than 2000 FIls are reeistered with SEBI. This shows that the, , At, , ontidence of foreign investors in the Indian, capita, Freedom to fix par value of shares, order, , In, , panies and, companie:, , to, , rket has increased, , encourage Initial Public Offers (1PO),SEBI has, , considerably., , freedom, , to, , given, Aetermine the par value of shares issued by them. SEBI has, now withdrawn the fixed, 100., ot R 10 and, , compane, , ar value, , Growing Mutual funds investment, , Setting up ot private mutual funds are now permitted by SEBI. The mutual funds are, w permitted to underwrite public issues and aiso allowed to make investment in money, , let instruments. UTI has now been brought under the regulatory framework of SEBI, SEBI has issued guidelines for making advertisement by mutual funds., , .Regulatingmerchant bank, Merchant banking has been brought under the regulatory framework of SEBI., , Merchant bankers have to be authorized by SEBI. They have to follow stipulated, SEBI in, capital adequacy norms. They have to follow the Code of Conduct issued by, , e5pect of pricing and premium fixation of issues., , international capital market, S Accessing, The Government of India has liberalised, Since 1992 Indian, , companies were permitted, , permitted to, Depository Receipts (GDR),, , They, , are, , to, , investment norms for Indian companies., access, , capital market., capital market through, , international, , raise funds in international, American Depository Receipts, , (ADRs), , Global, Convertible, and Euro, , Bonds (ECBs), B., , Secondary Market Reform, , (NSE), 1 Setting up of National Stock Exchangeset in, National Stock Exchange (NSE) was, 1994. It provide wide trading facility for all, , up, , types, , 1992 and it started its operations in, of securities. It provide trading services, , which are efficient and transparent., communication technology in, world to use satellite, NSE is the first exchange in the, of brokers and intermediaries., the, from, pressures, It, free, is, trading., Corporation (NSCC), Setting up of National Securities Clearing, (NSCC) was set up in 1996 as an, The National Securities Clearing Corporation, stock exchanges., all the trades in the, , ntermediary to settle, , National, in National Stock Exchange,, two, parties, between, there is a transaction, A and B make a, between automatically i.e. when, comes in, ec, the NSCC, uties Clearing Corporation, If A was supposed to buy from B,, itself between them., NSCC, , If, , interposes, , ade,, , Duys from B and sells to A., , r, , any party defaults, the, , transaction is, , completed by, , NSCC. Hence there is, , no, , chance, , of payment crisis., , Dematerialisation (DEMAT), ematerialisation, , process, , was, , January 15, 1998. In India, share, cost, in them was fraught with operational, so trading, National, activities. To tackle this problem,, introduced from, , paper and, SSk.This give rise to a number of criminal, November 1996 and this was, was set up in, (NSDL), Limited, Ltd. (CSDL). Under these, folles Depository, Central Securities Depository, of, to, setting up, i.e. securities were converted from paper, were dematerialized, securities, all, eitories, onc form. It avoid delays, minimizes cost and checks forgery., , ares are printed, , on, , tollowed by, depo, lectron, , 2rTY, , Lom- Business Economics, , (Sem.-V)

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172, , (T.Y.B.Com.), Business Economics, , (T +2 System), Rolling Settlement +2, system of settlement, , SEBIintroduced T, , (Sem.-V), , with effect from April 1, 2005. All the, , STOCK exchanges introduced T +2 rolling settlement i.e. all the transaction (delivery and, faster turnover of, payment) where settled in two days from the trade day. It facilitates, , stock and more liquidity with the investor., 5., , Introduction of, , Depository System, , 1996 to avoid, been approved by the parliament on July, the, Indian capital, organization in, Orgery, thett, delay in settlement etc. Depository is antransfer, shares between the account, rket which holds the shares in electronic form andthere are two depositories: National, nolders with speed, accuracy and security. In India, Services Limited (CDSL)., Depository Limited (NSDL) and Central Depository, ne, , Depository System has, , becurities, , Both are registered with SEBI., 6., , Setting up of OTCEI, of India, act 1956. OTCEI is a, , The Over the Counter, under the, , Exchange, , operational companies, in 1992. OTCEI, investors., , October 1990, , and become, is primarily meant for small size companies and small, to, , status as available, listed on OTCEI enjoy the same listing, in the country. However, the, any other recognized stock exchange, stock exchange in, OTCEI cannot be listed or traded on any other, , Companies, , companies listed, companies listed, India., 7., , (OTCEI) was incorporated in, recognized stock exchange, , on, , on, , Ban on Insider Trading, SEBI has tried to, , and unfair use of, protect the public from manipulative dealings, securities of, not allowed to deal in, , price sensitive information by insiders. An insider is, the listed company on any stock exchange on the basis of any unpublished price, is done to protect the, sensitive information. The ban is effective from August 9, 2003. This, interest of investors., 8., , Screen Based Trading, National Stock Exchange (NSE) introduced for the first time in India, Screen Based, , Trading System (SBTS)., SBTS electronically matches the orders on a strict price. The prices are displayed on, , the, , screen., , This system reduces time, cost and risk of, , error as, , well, , as, , fraud. It allows, , distant participants to trade with each other. It provide a complete transparent trading, mechanism. It improves the liquidity of the market. It leads to improved operational, , efficiency in the secondary market., 9., , Derivatives Trading, SEBI introduced derivatives trading in June 2000. Derivatives are a variety of other, , securities which have now become available for trading i.e. they are apart from money, market and capital market securities. In India there are four derivative products i.e. : Stock, futures, stock options, Index futures and Index options., , Derivatives Trading is allowed in National Stock Exchange and Bombay Stock, , Exchange., 10., , Investors Protection, , Investor Education and Protection Fund was set up in 2001under SEBI Act for the, purpose of investor education and awareness. It protect the small investors from frauds, and malpractices in the capital market., , 11. PAN mandatory, PAN has been mandatory from January 1, 2007 to strengthen the "Know Your Client", norms and also to have sound audit trail of transactions in the securities market. PAN has, been made compulsory for all transactions in the capital market.

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174, , Businesa Lonomics (T. Y.H.Com.) (Sem. V), , B., , Choose the correct, , 1., , Capital market reforms do not include, , answe, , a), , Screen based, , b), , Deregulation of interest rates, , c), , Depository Systenm, , d), , Rolling settlement, , trading, , Capital market is a market for, a) Short term funds, b) Medium term funds, c)Longterm funds, d) Medium and long-term funds, , 3., , In India rolling settlement period is, a) T+1 day, , b) T+2days, c), , T+4 days, , d) T+6days, 4., , The primary market does not include, a), , Equity issues, , b), , GDR issues, , c)Debtissues, d) Screen based trading, , 5., , market, Government securities, , a), , Industrial, , is also known as, , security market, , financial, b) Development of, , institutions, , c)Gilt-Edged Market, 6., 6., , d) All of the above, Capital market involves:, a), , Short-term transactions, , term, b) Medium-long, , transactions, , c)Financialadjustments, d), 7., , All of the above, , G o v e r n m e n t securities, , market is:, , Sub-market, , of capital, , market, , a), , Sub-market, , of money, , market, , b), c), , Business, , of the government, , d) All of the above, 8., , Gilt-edged, , securities refers, , a), , Bonds, , b), , Securities, , issued, , to_, , by municipal, , corporation

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CapitalMarket, , c)IndustrialIssues, d) Government Securities, , Capital, , 9, , a), , Market, , in India includes, , Gilt-edged market, , c)Financialintermediaries, , b), d), , market, Industrial securities, , All the above, , a, 10. SEBI got, , legal status, , in the year., , a) 1988, , b) 1991, (3-b), (4-d),, , Ans.(1-b), (2-d),, , c), , 1992, , d), , 1996, , (5-c),, , statements, , C., , State, , whether the following, market deals, , 1., , Primary, , 2, , Capital, , 3, , Secondary, , 4, , Capital, , with, , market, market is the, are, , 6., 7., , 8., , 9, , for, , 10. Capital, , Agencies, come, , market is a, , market, , are, , passive, , new, , issued, , are, , 11., , Dematerialisation, , of securities helps, , 12., , 13., , Screen base, , trading system, , lead to, , market., , 10, 11,, : (2,3,5, 6, 8, 9,, , [Ans. True, D. Match the following:, , 1., , Capital Market, , 2., , Government Securities, , 3., , all, , in the capital, , less, , liquid, , to reduce, , improved, , Market, , Developmental Financial, , 6. Financial Intermediaries, , to the money, in comparison, , involved, , in trading., , in, operational efficiency, , the secondary, , (1, 4, 7)1, , Old issue market, , Gilt edged market, , d) Merchant bank /, Institutions, , market., , b) SEBI, c), , Primary market, , growth., , market., , in the capital, , the risks, , False:, , a), , Secondary market, , |5., , transactions, , 12, 13), , Market., , of SEBI., , relatively, , mandatory for, , by companies., , economic, , market instruments., , made, PANhas been, , industrial development., , in country's, , issue market., , instruments, , issued., , in Indian Capital, , participants, , under the purview, , (10- c)), , funds., , market significantly, , Market, , Primary, , short-term, , contributes, , Credit Rating, , Capital, , already, , (9-d,, , orFalse:, , country's, role in the, , arrival, the latest, , Financial, , Secondary, , True, , are, , which have already, , securities, , with, , Intermediaries, , 5., , securities, , importarnt, market plays an, market deals, , (8-d),, (6-b), (7-a),, , e), ), , Medium and, , Mutual fund, , long term funds, , CRISIL / ICRA / CARE, New issue market, , 7., , Capital Market regulator, , |8. Credit Rating Agencies, , h), , Public Sector Financial Institutions, , Ans. (1-e), (2 - c), (3 -g). (4 - a), (5-h), (6-d), (7- b), (8-1)]

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Alnbai, , R'R'R, , (O%1. 2018), Univrsitv Ouestion l'opwrs, , 177, , MUMBAI UNIVERSITY QUESTION PAPER, , (OCTOBER 2018), Marks: 100, , Time:3 Hours, , Please chech whether you have, Note: 1. All, , got the, , right question paper., , questions are compulsory., , Figures to the right indicate full marks., , 2., , Q.1. A. Select the right answer and rewrite the statement (Any 10), 1, , Liberlisation policy was announced on, a) January 1t 1991, b), , c)July 24th 1991, Social infrastructure refers to, a) Agriculture, , c) Real estate, is related to, , a) Sarva Shiksha, , ., , Abhiyan, c)Beti Padhao, Beti Bachao, , RUSA, , b), c)to meet, consumption needs, d), the, is, apex body of rural credit., , purchase of inputs, all of the above, , are, , not able to, , government ownership, , Industrial pollution control, , is, , a) State subject, , a, , a) Tourism, , identified for, , Narsimham Committee, , b), , lack of market, knowledge, , b), , purchase of shares, none, , b), , Central subject, , d), , None of the, , c)liberalization, of, banking sector, d) all, the above, , of the above, , above, , b), , Medical tourism, , d), , None of the above, , recommended., introduction of modern, consolidation of banks technology, of, , all of the above, , d), , promotion., , c)both (a) and (b), a), , b), d), , ., , )Concurrent subject, are, , Reserve Bank of India, ADB, , realize better prices because of, , c)sale of private securities, , sectors, , ., , b), d), , lack of grading, c)lack of storage facilities, Disinvestment refers to., , a) sale of, , 10., , Manufacturing, , None of the above, , a), , 9., , d), , d), , Farmers need short-term loans for, a) purchase of seeds, , Farmers, , 8., , Education, , b, , c) NABARD, , 7., , b), , girls education?, , a) Government of India, , 6, , d), , April 1t 1991, None of the above, , (10)