The Indian capital market

abhishreshthaa

New member
The Indian capital market still faces many challenges if it is to promote more efficient allocation and mobilization of capital in the economy. First, market infrastructure has to be improved as it hinders the efficient flow of information and effective corporate governance. Accounting standards will have to adapt to internationally accepted accounting practices.
The court system and legal mechanism should be enhanced to better protect small shareholders’ rights and their capacity to monitor corporate activities.


Second, the trading system has to be made more transparent. Market information is a crucial public good that should be disclosed or made available to all participants to achieve market efficiency. SEBI should also monitor more closely cases of insider trading. Third, India may need further integration of the national capital market through consolidation of stock exchanges.


The trend all over the world is to consolidate and merge existing stock exchanges. Not all of India’s 22 stock exchanges may be able to justify their existence. There is a pressing need to develop a uniform settlement cycle and common clearing system that will bring an end to unnecessary speculation based on arbitrage opportunities. Fourth, the payment system has to be improved to better link the banking and securities industries.
 

jiten005

Banned
The Indian capital market still faces many challenges if it is to promote more efficient allocation and mobilization of capital in the economy. First, market infrastructure has to be improved as it hinders the efficient flow of information and effective corporate governance. Accounting standards will have to adapt to internationally accepted accounting practices.
The court system and legal mechanism should be enhanced to better protect small shareholders’ rights and their capacity to monitor corporate activities.


Second, the trading system has to be made more transparent. Market information is a crucial public good that should be disclosed or made available to all participants to achieve market efficiency. SEBI should also monitor more closely cases of insider trading. Third, India may need further integration of the national capital market through consolidation of stock exchanges.


The trend all over the world is to consolidate and merge existing stock exchanges. Not all of India’s 22 stock exchanges may be able to justify their existence. There is a pressing need to develop a uniform settlement cycle and common clearing system that will bring an end to unnecessary speculation based on arbitrage opportunities. Fourth, the payment system has to be improved to better link the banking and securities industries.

Hey friend, thanks for your sharing and i am sure it would help many people. Well, I also want to share some information on The Indian capital market so that more and more people can take benefit from your thread.
 

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