Skip to content
Question 20 of 38

Q.What is stock exchange ?

Tamil Nadu DgeTamil Nadu HSC (DGE) Commerce Board 2022Subjective· 2mImportance★★★★★
53% · 20/38 Questions
🔒 Locked · start free trial →

You're viewing a preview — the full solution, concept, methods & PYQ mapping are locked.

Start your 14-day free trial to unlock the full solution →

A stock exchange is an organised, regulated secondary market where already-issued securities like shares, debentures and bonds are bought and sold.

A stock exchange is a properly organised and regulated marketplace for the purchase and sale of existing (already issued) securities. It provides a ready and continuous market where investors can convert their securities into cash and vice versa.

Main points (as tested in the Tamil Nadu HSC Commerce syllabus):

  • It deals in listed securities — shares, debentures, bonds and government securities.
  • It is a secondary market, i.e. it trades securities that have already been issued, not fresh issues.
  • It functions under fixed rules and regulations and the supervision of SEBI, ensuring safety and fair dealing.
  • It helps in price determination and provides liquidity to investors. …

Unlock everything free for 14 days

  • Full step-by-step solutions
  • Concept-first explanations
  • Methods, shortcuts & mistakes
  • PYQ mapping + timed mock tests

Full access for 14 days. No credit card required.