The Role and functions of a stock exchange GASCI一个股票交易所的功能和作用gasci.pptVIP

EEB GASCI Seminar 2005 The Role and Function of a Stock Exchange By Enid E Bissember GASCI Outline Overview of financial markets Institutional infrastructure Role and functions of stock exchange Overview of Financial Markets Two types of financial markets Money markets Capital markets Primary market Secondary market Market infrastructure Stock exchange Clearing and settlement Education and training Investors’ protection Rating agency Instruments Equities Bonds Intermediaries Brokerage houses Stock brokers Advisors Regulation Supervision A few questions Ever wondered how the capital markets work Who sets the rules What does the stock exchange do What is the role of the stock broker How to become a registered broker The Regulator Foremost authority presiding over the capital markets With mission to promote and maintain Fair, efficient , secure and transparent market and to facilitate the orderly development of the stock exchange Role and Functions of  a stock exchange Established for the purpose of assisting, regulating and controlling business of buying, selling and dealing in securities Role and Functions of  a stock exchange cont’d Provides a market for the trading of securities to individuals and organizations seeking to invest their saving or excess funds through the purchase of securities Role and Functions of  a stock exchange cont’d Provides a physical location for buying and selling securities that have been listed for trading on that exchange Role and Functions of  a stock exchange cont’d Establishes rules for fair trading practices and regulates the trading activities of its members according to those rules Role and Functions of  a stock exchange cont’d The exchange itself does not buy or sell the securities, nor does it set prices for them Fair The exchange assures that no investor will have an undue advantage over other market participants Efficient market This means that orders are executed an