Category: B.COM NOTES

UNDERWRITING

Dr. Toran Lal Verma

UNDERWRITING When a company offers shares to the public, it is mandatory requirement that minimum subscription must be achieved. Minimum subscription means that at least or more than 90% of the issue must be subscribed. If the minimum subscription is not achieved then the company has to return the amount received on the application and the issue will go in vain. the Read More …

QUALIFIED INSTITUTIONAL BUYERS

Dr. Toran Lal Verma

QUALIFIED INSTITUTIONAL BUYERS (QIBs) Qualified institutional buyers are institutional investors who possess a strong financial expertise and has a reputation in the financial market. They are considered to have expertise in evaluating and investing in the market. Because of their financial capabilities, they are given certain privileges under SEBI Guidelines. SEBI has defined QIBs as follows: Qualified Institutional Buyers are those Read More …

TRADING MECHANISM OF GOVERNMENT SECURITIES

Dr. Toran Lal Verma

TRADING MECHANISM OF GOVERNMENT SECURITIES Trading in Government securities takes place by following methods: (i)  Public Debt Office of the Reserve Bank of India issues notification:  the Reserve bank of India has various office the to ensure the functioning of RBI. When the Reserve Bank of India wants to sell government securities,  it orders its Public Debt Office to issue a notification Read More …

GOVERNMENT SECURITIES

Dr. Toran Lal Verma

GOVERNMENT SECURITIES the securities issued by central government, state government, semi-government bodies, port trusts, public-sector undertaking and financial institutions like IDBI, state financial corporations etc. are known as government securities or gilt-edged securities. The government issues securities to meet its short-term and long-term fund requirements.The Central Government securities prevailing in India are Gold Bonds, National Defence Bends and Rural Development Bonds. funds Read More …