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CAPITAL MARKET According to Gaurav akrani, smashing mart is one of the satisfying aspects of every financial securities industry. Hence it is necessary to study its patch up meaning. Broadly speaking the capital market is a market for financial assets which have a long or dubious maturity. Unlike money market instruments the capital market instruments flex mature for the breaker point above one year. It is an institutional musical arrangement to borrow and lend money for a longer period of time. It consists of financial institutions like IDBI, ICICI, UTI, LIC, etc. These institutions play the role of lenders in the capital market. Business units and corporate ar the borrowers in the capital market. Capital market involves various instruments which understructure be utilise for financial transactions. Capital market provides long term debt and beauteousness finance for the government and the corporate sector. Capital market plenty be classified into primary and secondary markets. The primary market is a market for current sh atomic number 18s. Vijay Kumar Sharma said that both personal and public sector organizations can get funds by selling new shares or bonds for primary market. Usually small or medium scale companies enter into the market of new securities in order to widen the scope of their business. The selling function of new securities to investors is called underwriting.

The security dealers earn a commission that is added in the cost of the securities. A lot of formalities are require to be fulfilled before a security can be sold. Some of the important features of Primary Markets are as follows: I. It is the market that deals with new long-term securities, not the existing ones. That is, the securities are sold for the first time in the Primary Market.  II. Here, the securities are sold by the company directly to the investors. However, it is not so in the Secondary Market.  III. New security certificates are issued to the investors formerly the company receives money from them.  IV. The funds from... If you want to get a full essay, order it on our website: Orderessay

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