1. Produced by: Abduvali Ibn Manan
London Stock Exchange
Produced by: Abduvali Ibn Manan

2. STOCK EXCHANGE
Stocks are issued by companies in order to raise capitals and are bought by investors in order to acquire a portion of the company.
Stock exchange means anybody of individual whether incorporated or not ,constituted for the purpose of assisting ,regulating or controlling the business of buying ,selling or dealing in securities “.

3. Largest stock exchanges
LONDON STOCK EXCHANGE
NEW YORK STOCK EXCHANGE
SHANHAI STOCK EXCHANGE
AUSTRALIA STOCK EXCHANGE
TOKYO STOCK EXCHANGE
HONG KONG STOCK EXCHANGE
TORONTO STOCK EXCHANGE
DEUTSCHE BORSE
BM&F BOVESPA
NASDAQ OMX STOCK EXCHANGE
NATIONAL STOCK EXCHANGE
BOMBAY STOCK EXCHANGE
CALCUTTA STOCK EXCHANGE
COCHIN STOCK EXCHANGE
MULTI COMMODITY EXCHANGE
DERIVATIVES EXCHANGE
OTC EXCHANGE
PUNE STOCK EXCHANGE
INTERCONNECTS EXCHANGE
IN THE WORLD
IN INDIA

4. Features of stock exchange
It is a place where securities issued by companies, govt. & other authorities are purchased & sold.
Its area of operation or geographical jurisdiction is well defined.
Its purpose is to assist & regulate buying & selling in securities.
It operates as per rules 7 guidelines issued by the Securities & Exchange Board Of India (SEBI).

5. Importance of stock exchange
Stock exchange is a organized securities market which provides sufficient marketability to shares & debentures.
Stock exchange provide a reasonable measure of safety & fair dealing in the buying & selling of securities.
It constitutes the prime centre through which bulk of investment activities are conducted by individual & institutional operators.
Stock exchange play an important part to speed up the process of economic in the country.
Stock exchange has been described as the pulse of the economy of the country.

6. Functions of Stock Exchange
Provide central and convenient meeting places for sellers and buyer of securities
Increase the marketability and liquidity of securities
Contribute to stability of prices of securities
Equalization of price of securities
Smoothen price movement
Help the investors to know the worth of their holdings
Promote the habit of saving and investment
Help companies and government to raise funds from the investors
Provide forecasting service

7. BOMBAY STOCK EXCHANGE
BSE Limited formerly known as Bombay Stock Exchange (BSE) , is the oldest stock exchange in Asia.
It is a stock exchange located on Dalal Street, Mumbai.
The equity market capitalization of the companies listed on the BSE was US$1 trillion as of December 2012
It the 6th largest stock exchange in Asia and the 14th largest in the world.

8. BSE was established in 1875 as “The Native Share & Stock Brokers”.
First Stock Exchange in the country to obtain permanent recognition in 1956 from GOI.
Around 4700 Indian companies listed with Stock Exchange.
As of 2012, it is among the five biggest Stock Exchanges in the world in terms of transactions volume. As of March 2012, there are over 5,133 listed Indian companies and over 8,196 scrip's on the stock exchange, the Bombay Stock Exchange has a significant trading volume.
The BSE SENSEX, also called "BSE 30", is a widely used market index in India and Asia.

9. LONDON STOCK EXCHANGE
It was the first stock exchange established by east India company in 18th century in London. The top gainer of LONDON STOCK EXCHANGE is “Blue chip shares”.

10. LONDON STOCK EXCHANGE:
Significantly changed by the “Big Bang” of 1986:
ending fixed commissions
introduced SEAQ (Stock Exchange Automated Quotations)
attracted trading in non-UK stock

11. London Stock Exchange - key statistics
Total companies
Domestic: 2,550
International: 675
Market capitalisation
Main Market:
UK listed: US$3,570bn
International listed: US$4,398bn
AIM: US$181bn
Turnover value (Jan-Dec 2007)
Main Market: US$8,054bn
AIM: US$150bn

12. Cost-benefit analysis favours London
London and New York exchanges offer optimal profile
London has world’s highest reputation for regulation and governance
Principles-based (UK) versus rule-based (US) approach
London has the most liquid equity market in Europe
London has the world’s most successful growth market (AIM)
London Stock Exchange offers world’s only location for liquid and transparent trading of GDRs
London combines simple, flexible disclosure with high reputation of regulators
US disclosure regime more prescriptive, exacerbated by need to protect against opportunistic securities litigation
London offers rapid turnaround by regulators, and limits the time regulators can take to approve offer documents
US: SEC review periods longer, with no certainty on turnaround time
AIM offers potentially shorter transaction timetable
Profile
Trading
Disclosure
Timing
Cost-benefit analysis favours London

13. The world’s capital market
London Listing
Access to global capital
Lower cost
Lower risk
Faster to market
Intelligent regulation
New York Listing
Higher cost
Slower to market
Higher risk
Sarbanes Oxley
Section 404
Class actions