EQUITY PPT 2022

et - Timing www.isfm.co.in 73 n : 09:00 hrs e : 09:08 hrs* e minute. Pre-open order matching starts immediately after et Open : 09:15 hrs et Close : 15:30 hrs hrs. Closing Session is available only in Normal Market Segment. lowed, Trading will take place at single price i.e. close price of a DQ orders are not allowed. Trades will be considered as Normal

Secondary Market  The secondary market is where investors buy and s typically think of as the \"stock market,\" though stoc first issued. The national exchanges, such as the Na Exchange (BSE)  For the general investor, the secondary market pro For the management of the company, Secondary e conduit—by facilitating value-enhancing control ac management contracts, and aggregating informati decisions.  What is the difference between the Primary Marke  In the primary market, securities are offered to pub fund. Secondary market is an equity trading venue traded among investors. Secondary market could b is the part of an auction market, Over-the-Counter

sell securities they already own. It is what most people cks are also sold on the primary market when they are ational Stock Exchange of India (NSE) & Bombay Stock ovides an efficient platform for trading of his securities. equity markets serve as a monitoring and control ctivities, enabling implementation of incentive-based ion (via price discovery) that guides management et and the Secondary Market? blic for subscription for the purpose of raising capital or e in which already existing/pre-issued securities are be either auction or dealer market. While stock exchange r (OTC) is a part of the dealer market.

Secondary Secondary M Market  The secondary market, also calle financial market in which previously i options, and futures are bought and s  There are two major exchanges in exchanges.  Trading on the equities segment ta Ca Mar Equity De Equity Preference Partly Ful Shares Shares Convertible Conve

Market www.isfm.co.in 75 ed the aftermarket and follow on public offering is the issued financial instruments such as stock, bonds, sold on an exchange. India – NSE & BSE with 21 other small regional akes place on all days (M –F) apital rkets ebentures Mutual Funds lly Non- Warrants Bonds ertible Convertible

How does Secondary 76 1. Pla the or 5. Funds Tran /securities C 4. Settlement of trades

Market Works acing rder nsaction 2. Trade Cycle execution 3. Clearing 23 May 2022 of trades www.isfm.co.in

How does second function 77 TT+d21adyay Excha Depositories 6. Pay in Clea Securities (debit hou pool account of CMs / Custodians and credit its account 8. Pay out 5. Instructions to 2. Trade details – depositories to make sent for confirmation securities available Clearing 10. Depository informs through DPs / custo Within 48 hours, the shares /funds g

dary market n ange After 4.30 P.M 1. Trade details – real time 2.30 P.M and end of the day trade file 7. Pay in 1.00 P.M Funds (debit pool Clearing banks aring account of CMs / use Custodians and credit its account 9. Pay out 3. Download of obligations and pay in advise of funds /securities 4. Instructions for making funds available by pay in members time odians 11. Clearing bank informs through gets wcrwewd.iistfemd.cion.cinuthsteodii2na3nvseM/staCoyMr’s2s 0a2c2count

Rolling Settlement T+2 78 Mon Tue Wed Thur 1 2 3 4 Trade day Trade day Tsreattdleemdeanyt settlem 8 9 10 11 Trading 16 settlement 18 Holiday 17 15 22 23 24 25 30 31

2 days Fri Sat Sun 7 5 5 14 13 21 ment Tsreattdleemdeanyt 28 12 19 20 26 27 www.isfm.co.in 23 May 2022

23 May 2022

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Classification of Shares



Classification of Securitie  BONDS OR FIXED INCOME SECURITIES  GOVERNMENT SECURITIES  SAVING BONDS  PRIVATE SECTOR DEBENTURE  PSU BONDS  PREFERENCE SHARE

es CLASSIFICATION OF EQUITY SHARES • BLUE-CHIP SHARES GROWTH SHARES INCOME SHARES CYCLICAL SHARES DEFENSIVE SHARES SPECULATIVE SHARES

Secondary Market – F1 Bu F2 Se F3 F6 Best F8 Alt + F6 23 May 2022

– Short Keyswww.isfm.co.in 82 uy Order Entry ell Order Entry Order Book Five /Snap Quote Trade Book Net Position

Stock Trading



Types of the Trading  Intraday Trading :  When we buy / Sell the to 03:30 pm called the i  Delivery Base Trading :  When we buy the share more than one day calle

share between 09:15 am intraday trading. and hold for one day or ed delivery base trading.

Types of Trading 85 Intra Day Trading  You have to square off on the same day  Low transaction charges  High Exposure for Trading  High risk due to less time  Low tax applicable  You are not owner of the securities

Delivery Base Trading  Not mandatory  Transaction charges is high  Less Exposure for Trading  Low risk  High tax applicable : STT  You are owner of the securities www.isfm.co.in 23 May 2022

Order Management



Secondary Market – Limit Order An order that allows the p into the system. Market Order An order to buy or sell sec time of entering the order. Stop loss An order which gets activ Order relevant security reaches until then the order does n Stop loss While entering the stop lo Market Order traded is a market order o 23 May 2022

– Order Typewww.isfm.co.in 87 price to be specified while entering the order curities at the best price obtainable at the . vated only when the market price of the s or crosses a threshold price (Trigger Price), not enter the market oss market order, since the order to be one needs to enter only the trigger price.

Secondary Market – Compulsorily Intrad square-off 23 May 2022

Product Typewww.isfm.co.in 88 Margin Short Selling day 4- 10 times Allowed on margin limited securities 2 times margin No short selling

Secondary Market – A Day order, is valid for the Day matched during the day the of the trading day. IOC An Immediate or Cancel (IO (Immediate or sell a security as soon as the the order will be removed fro Cancel) order, and the unmatched po 23 May 2022

Order Validitywww.isfm.co.in 89 day on which it is entered. If the order is not order gets cancelled automatically at the end OC) order allows a Trading Member to buy or e order is released into the market failing which om the market. Partial match is possible for the ortion of the order is cancelled immediately

Secondary Market – Orde  GTC (Good A Good Till Cance Till Cancelled) in the system until will therefore be a matched. The ma remain in the sy GTD (Good Till A Good Till Days/ Days) the days/date u system. At the end from the system. E a

er Validity elled (GTC) order is an order that remains l it is cancelled by the Trading Member. It able to span trading days if it does not get aximum number of days a GTC order can ystem is notified by the Exchange (BSE) /Date (GTD) order allows user to specify up to which the order should stay in the d of this period the order will get flushed Each day/date counted is a calendar day and inclusive of holidays.

Best Five View 91

www.isfm.co.in 23 May 2022

What is Stop Loss



Stop - loss  What is a Stop Loss Order?  If client has already created an open positi Opposite leg order, placed at a “trigger pri  For example, if you have bought a stock at R broker to sell it, if it reaches Rs. 8/-, then yo market rate.  Why to create Stop loss Order & keep a go are the advantages?  Prevent Significant Losses  holding multiple positions  Stock price getting further dipping  Sudden fall/sudden uptrend  defense mechanism

ion, either buy/sell, then a stop loss order is a ice” along with Limit rate OR Market Rate. Rs. 10, you can place a stop loss order with your our trigger price is Rs 8/-, Selling price is Rs 7/- or ood practice of following this with all clients, what

What is Trigger Price 94 Trigger Price is the price at which a stop lo order gets activated & is automatically bec with Limit Price OR Market price.

oss order is triggered. i.e. Pending stop loss comes active order in Exchange Order book www.isfm.co.in 23 May 2022

What is Stop Loss Limit Ord  Stop Loss Limit Order means, after a sell at limit price. E.G. Customer has but want to sell Reliance if it breaks Limit order will be entered in system  Set Trigger Price = 980/-, then sell  That means – once stock reaches tri sold upto Rs 977/-

der? a trigger price is hit, customer wants to s Purchased 100 Reliance at 1000/- , s below 980/-, then how a Stop loss m l at limit price of 977/- igger price of 980, stock qty will get

Transaction Charges



Transaction Charges  Below is mentioned list of Charges:  Brokerage  Securities Transaction Tax (STT)  Regulatory Charges (SEBI / Exchanges )  Stamp duty  Goods & Service Tax - GST



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