The Role and Function of Stock Market Research Paper

The Role and Function of Stock Market - Research Paper Example Therefore, the illegal influence of counterparty on the transaction is eliminated to an investment whether invested by an investor or corporation. The smooth execution of stock markets activities not only helps profitable development at lower costs but also project the production of industry as well as employment. Moreover, the inoperative deposits with banks are used for cultivation of various economic sectors such as agriculture, commerce and trade. Thus, by playing its vital role in promoting economic system, its also increases the societal prosperity in the state. Generally the stock markets consist of board of directors, chief executive officer (CEO), deputy chief executive officer (DCEO) and heads and staff of departments and sections. The general administrative structure of stock markets is as follows: (iii) It also suggests most suitable solutions to business problems and prepares trading announcements. Moreover, it is responsible to ensure that these reports must reach to the concerned parties, trading system operators and conducts the required investigation to license them to function. It is a sub-market of the London Stock Market. ... Moreover, it is responsible to ensure that these reports must reach to the concerned parties, trading system operators and conducts the required investigation to license them to function. (iv) It takes actions on the execution of the applicable listing instructions by security issuers. (b) Surveillance and Inspection Department. This Department undertakes the following tasks: (i) Executed trading operations are surveiled on the stock markets to ensure their agreement with valid legislations. (ii) It scrutinizes members of stock exchange and registers them to ensure their conformity with rules and regulations of the market. (iii) It receives, examines and recommends appropriate solutions to investors' complaints. (c) Legal Department. Role and task of this department is as follows: (i) This department issues legal procedures and advices to all sections of stock market regarding outgoing and incoming correspondence. (ii) All the agreements and contracts are reviewed by this department. (iii) It acts upon court decisions passed related to securities. Also it follows up the cases raised by stock market or against it. (d) Research and International Relations Department. This Department has the following tasks: (i) It collects the data and information from various departments of the stock market regarding economic and financial studies and then research on it to conclude statistical facts and figures (ii) It prepares official press releases and computes indexes. (iii) For the public awareness, this department arranges conferences, visits and training workshops. (e) IT Department. This Department does the following tasks: (i) IT department is responsible for the protection, maintenance and updating of software and hardware systems