This book is a comprehensive guide to the Indian securities markets, designed to provide basic knowledge and understanding of the subject. It covers key topics such as:
• Basics of Indian Securities Markets
• Processes involved in Primary & Secondary markets
• Schemes and products in Mutual Funds and Derivatives Markets in India
• Financial Planning Process
The book is particularly tailored for entry-level professionals aiming for a career in securities markets and individuals from various backgrounds, such as employees in securities, other professionals, students, homemakers, and teachers, who are keen on acquiring a basic understanding of the Indian Securities markets.
The Present Publication is the November 2023 workbook version, published exclusively by Taxmann for NISM Certification Examination XII | Securities Markets Foundation, with the following noteworthy features:
• [Know] the following:
o Basics of the Indian Securities Market
o Various Processes Involved in Primary and Secondary Markets
• [Understand] the Schemes and Products in Mutual Funds and Derivatives Markets
The detailed contents of the book are as follows:
• Understanding Securities Markets and Performance
o This chapter introduces the concept of securities markets, detailing their structure and the various participants involved
o It explores the role of securities markets in the financial ecosystem
o A special focus is given to the technological advancements that have impacted the securities market
• Securities: Types, Features and Concepts of Asset Allocation and Investing
o An extensive overview of the different types of securities available in the market
o It discusses the choices between equity and debt financing for issuers and the characteristics and roles of each
o The chapter delves into hybrid instruments, commodities as an asset class, and derivatives
o It also covers asset allocation, diversification, and the investment process in both equity and debt securities
• Primary Markets
o This chapter defines primary markets and their functions, comparing them with secondary markets
o It outlines the various intermediaries, types of issues, issuers, and investors in the primary market
o Regulatory frameworks, public issue processes for equities and debt securities, and private placements are also discussed
• Secondary Markets
o Focuses on the role and function of secondary markets and the different types available for various securities
o Details the market structure, participants, brokers, trade execution, clearing, and settlement of trades
o It also touches upon market information and regulation, risk management systems, and trading and reporting for debt securities
• Mutual Funds
o Provides a detailed explanation of mutual funds, their types, and related terms and concepts
o Differentiates between open-ended and closed-ended mutual fund schemes
o Discusses investment approaches, processes for investing in mutual funds, and systematic transactions
o It also includes information on the benefits, costs, regulations, and investor service standards in mutual funds
• Derivatives Markets
o Covers the basics of derivatives, underlying concepts, and the various types of derivative products
o Explores the structure of derivative markets, trading and settlement processes, and risk management
o Concludes with the application of derivatives in risk management and market indicators
