Introduction to Share Market

Stocks or share are the area where people tend to invest. What is a Share? Share is a finite number of equal portions of the capital of the company. In financial world, there are few kinds of share such as common Share, Preference Share, mutual funds, limited partnerships, and REIT's. Common stock typically carries voting rights that can be exercised in corporate decisions. But Preference share does not carry voting rights and it is legally entitled to receive a certain level of dividend payments before any dividends can be issued to other shareholders. When a company releases its share to the public for the first time then it’s called Initial Public Offering (IPO). Public issuing is also classified into initial public offering and further public offerings. In both offerings the company makes detailed disclosures as per DIP guidelines in its offering documents. Normal advices for buying and selling of shares can be taken from share brokers and friends. I don’t see any website that tells the status of the share. An investor can invest in a IPO by filling the application form. As per law any public issue should be kept open for minimum of 3days and maximum of 21days. The application accompanied by cash, cheque or DD should be deposited before closing date as per instruction on the form.