Distinguish between Capital Market and Money Market.
Difference between capital market and money market:
Basis | Capital Market | Money Market |
---|---|---|
Meaning | It is a market dealing in securities for long-term funds. | It is a market dealing in securities of short-term funds. |
Duration | Period of maturity is more than one year. | Period of maturity ranges from one day to one year. |
Liquidity | Only actively traded securities enjoy liquidity. | In this market, there is a formal arrangement of creating liquidity. |
Safety Element | The transactions are made in the instruments issued by the financial institutions and financially strong companies. | In this market, securities of every company (big or small, financially weak or strong) are bought and sold. Hence, there is more risk involved. |
Instructions | Main instruments traded are shares, debentures, bonds, preference shares, etc. | Instruments traded are t-bills, commercial bills, Certificate of deposits, etc. |
Expected Returns |
The expected rate of return is less due to short duration. |
The expected returns are high and there is even a possibility of capital gain. |
India’s largest domestic investor Life Insurance Corporation of India has once again come to government’s rescue by subscribing 70% of Hindustan Aeronautics’ ₹4,200-crore initial public offering.
a. Which market is being reflected in the above case?
b. State which method of floatation in the above identified market is being highlighted in the case? (Primary Market)
c. Explain any two other methods of floatation. (Private Placement, Offer through prospectus, offer for sale).
Explain the objectives and functions of the SEBI.
What is the common name for Beneficiary Owner Account, which is to be opened by the investors for trading in securities?
Explain the recent Capital Market reforms in India.
State any two reasons why investing public can expect a safe and fair deal in the stock market. (Point w.r.t safety of Transactions – Functions of the Stock Exchange).
“Money Market is essentially a Market for short term funds.” Discuss.
Name the document prepared in the process of online trading of securities that is legally enforceable and helps to settle disputes/claims between the investor and the broker.
Lalita wants to buy shares of Akbar Enterprises, through her broker Kushvinder. She has a Demat Account and a bank account for cash transactions in the securities market. Discuss the subsequent steps involved in the screen-based trading for buying and selling of securities in this case.
State the objective of NSE?
Name any two details that need to be provided by the investor to the broker while filling a client registration form.
How does planning provide direction?
What is meant by staffing?
Identify the network of social relationships which arises spontaneously due to interaction at work.
What is informal communication?
State the meaning of controlling.
What is meant by capital structure?v
What is meant by management?
State any two advantages of branding to marketers of goods and services?
What makes principles of management flexible?
Under which consumer right does a business firm set up consumer grievance cell?
A company wants to modify its existing product in the market due to decreasing sales. You can imagine any product about which you are familiar. What decisions/steps should each level of management take to give effect to this decision?
The workers of a factory are unable to work on new machines and always demand for help of supervisor. The Supervisor is overburdened with their frequent calls. Suggest the remedy. (Hint: training)
Explain the techniques of managerial control.
Explain any four points regarding significance of principles of management.
Explain the factors determining the choice of channel of distribution.
How does understanding of business environment help in improving performance of a business?
List any two indicators of growth of an organisation.
Enumerate the various Acts passed by the Government of India which help in protection of consumers’ interests.
National Digital Library of India (NDL India) is a pilot project initiated by the HRD ministry. It works towards developing a framework of virtual repository of learning resources with a single-window search facility. It provides support to all academic levels including researchers, life-long learners and differently-abled learners free of cost. State the dimensions of business environment highlighted above.
Mr.Arfaaz had been heading the production department of Writewell Products Ltd., a firm manufacturing stationary items. The firm secured an export order that had to be completed on a priority basis and production targets were defined for all the employees. One of the workers, Mr. Bhanu Prasad, fell short of his daily production target by 10 units for two days consecutively. Mr. Arfaaz approached MsVasundhara, the CEO of the Company, to file a complaint against MrBhanu Prasad and requested her to terminate his services. Explain the principle of management control that MsVasundhara should consider while taking her decision. (Hint: Management by exception).