Q.A stock exchange deals mainly in:

'Money' is wrong; the correct word is capital.

The financial market is broadly divided into the money market and the capital market. The money market deals in short-term funds and instruments such as treasury bills and commercial paper, usually for periods of less than one year.

The capital market deals in long-term funds and securities like shares, debentures and bonds. A stock market (stock exchange) is where such long-term securities are bought and sold, so it is an important constituent of the capital market, specifically its secondary market. Describing it as part of the money market is therefore incorrect.

The statement is False. The securities market in India is an organised marketplace, not an unorganised one.

The securities market is where financial securities like shares, debentures and bonds are traded.

• In India this trading takes place through recognised stock exchanges such as the BSE and NSE, which operate under strict rules.

• The market is regulated by the Securities and Exchange Board of India (SEBI), with defined listing requirements, trading mechanisms and settlement procedures.

• These features make it a well-organised marketplace; calling it unorganised is incorrect.