Practicing Success

Target Exam

CUET

Subject

Entrepreneurship

Chapter

Resource Mobilisation

Question:
The transactions in the secondary market of shares can be undertaken by an investor:
Options:
Directly
Through Brokers
Through their bankers
Any of the above.
Correct Answer:
Through Brokers
Explanation:
Transactions effected only through members: All the transactions in securities at the stock exchange are effected only through its authorized brokers and members. Outsiders or direct investors are not allowed to enter in the trading circles of the stock exchange. Investors have to buy or sell the securities at the stock exchange through the authorized brokers only.