Q.State any two reasons why the investing public can expect a safe and fair deal in the stock market.

The investing public can expect a safe and fair deal because of the safety-of-transaction function of a stock exchange.

First, the membership of a stock exchange is well regulated. Second, its dealings are well defined under the existing legal framework. Together these ens …

This flows from the safety-of-transaction function of a stock exchange. Two reasons can be stated:

1. Regulated membership. The membership of a stock exchange is well regulated, so only eligible and accountable members can deal on the exchange. …