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SECURITY MARKET & ITS FUNCTION
By, Prayash Neupane
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Security & Security Market
A security is a fungible, negotiable financial instrument that represents some type of financial value. A security is a financial instrument that represents an ownership position in a publicly-traded corporation (stock), a creditor relationship with governmental body or a corporation (bond), or rights to ownership as represented by an option. Securities market is a component of the wider financial market where securities can be bought and sold between subjects of the economy, on the basis of demand and supply.
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Types of Security Market
ExchangeMarket Primary Market Secondary Market Off-Exchanged Market Over-the counter Market
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Function Of Security Market
Economic barometer Pricing of security Safety of transaction Contribution to economic growth Spreading of equity cult Providing scope for speculation Better allocation of capital Promotes the habit of saving and investment
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