The Financial Market is an amorphous set of players who come together to trade in financial assets. Financial Markets in any economic system that acts as a conduit between the organizations who need funds and the investors who wish to invest their money into profitable opportunity. Thus, it helps institutions and organizations that need money to have an access to it and on the other hand, it helps the public in general to earn savings.
Thus they perform the crucial function of bringing together the entries who are either financially scarce or who are financially slush. This helps generally in a smoother economic functioning in the sense that economic resources go to the actual productive purposes. In modern economic systems stock exchanges are the epicenter of the financial activities in any economy as this is the place where actual trading in securities takes place.
Modern day Stock Exchanges are most of the centers to trade in the existing financial assets. In this respect, they have come a long way in the sense that these days, they act as a platform to launch new securities as well as act as most authentic and real time indicator of the general economic sentiment.
The zone of activities in the capital market is dependent partly on the savings and investment in the economy and partly on the performance of the industry and economy in general. In other words capital market constitutes the channel through which the capital resources generated in the society and made available for economic development of the nation.
CONTENTS
Introduction
Primary Market-Genesis and Growth
What Is an IPO?
Why Go Public?
Advantages and Disadvantages of IPO
Risk Factor
Analyzing an IPO Investment
Investor Research:
IPO Investment Strategies
Principal Steps in an IPO
Cost of a Public Issue
Pricing of an Issue
Under pricing and Overpricing Of IPOs
Book Building Process of Price Discovery
Case Study
