Stocks and Shares
the skills of marketing director should be as follows 1..He must have the economic knowledge of the share market price value 2..he must increase the nominal value of interest to get his shares more 3..he sholud be aware of others company's share market 4..the dividend or rate for what he gets the shares should deductedly saved 4 his seldom use in market 5..To note tht first he take the share at a low cost and then move to higher,,,,,,, this increases his economic status in the market
Primary Market:- Whenever any company wants to raise money, it can done by floating its shares in the share market. When such shares are issued for the 1st time in the share market, it is called as IPO (Initial Public Offering) and the further issue is called FPO (Follow on Public Offer). Primary market consists of IPO and FPO. Tata steel coming with further issuance of shares is an example of FPO. Secondary Market:- once the shares are listed on the market, they can be traded on the exchange. the market where such trading takes place is called as secondary market. trading on BSE, NSE, Dow Jones etc is an example of secondary market.
Market makers- These are investment banks (eg Goldman Sachs) that partake in IPO's (initial public offerings) An IPO is done when a private company wants to 'go public', they ask investors and fund managers to buy shares in a company, when the company has fully, or nearly fully sold out then they launch the company on to the stock market. Another aspect market makers do is to generate more equity in a company, they do this buy issuing more shares in a company, effectively diluting the value of the other shares. In order to stop existing shareholders being annoyed by the decreased value of their holding they offer them the right to buy the shares (take up their rights) or to receive free shares to compensate them.Stockbrokers- Buy and Sell shares on behalf of investors. They can control the price of companies by waiting and mass buying or selling shares which can effect the price drastically.Fund Managers- these include unit trust, OEIC (open ended investment companies), Hedge Funds and Investment Trust managers. They manage trillions of assets on behalf of investors and in extreme circumstances can cause the rise or fall of a company in a matter of hours.
The "stock market".
Nominal Value, Face Value or Par Value of Shares- Value of the Share as indicated on the Share Certificate. This is different from the Market Value of the Sare, which is the actual value of the share and the amount for which it can be bought or sold. The Market Value can be either higher or lower than the Nominal Value, depending on the performance of the company or the economic circumstances of the day. In essence, the Nominal Value of a Share is of little importance and most investors are concerned primarily, if not solely, with the Market Value of the Shares.
When shares are issued at value which is more than face value then it is called shares issued at premium.
Market value or Market capitalization is the total value of all the shares of that company at the current trading day. For example, if there are 100,000,000 shares of XYZ limited and each share is trading at $5 per share, then the total market value or market capitalization of the company is $500,000,000/-
buying and selling of secondary shares
capital market by sell their shares at that face value which can rase the fund.
Market value should beTotal # of Shares outstanding X Share price
The stock price multiplied by the number of stock shares outstanding. for example if there are a million shares of stock and the the price is 1 dollar per share then the market value is one million
[EBIT-Kd(D)] (1-T)/Ks. earinings [EBIT-Kd(D)] (1-T)/Ks. earinings ----------------------------------------------------------------------------------------------- I am not sure of the above formula as it was given by someone else. but market value of equity and market capitalization are essentially the same thing. Market cap is the price of a share times the number of shares. Market value of equity is the current value of all the shares, at the current market price. market capitalization = share price * no of shares outstanding by Sardar Hissam Durrani :)
The market price of shares varies each day.Market Value definition :(1) The price at which a security is trading and could presumably be purchased or sold.
An estimation of the value of a business i.e obtained by multiplying the no. of shares outstanding by the current price of shares.
Both stock market and share market refers to the same.It is a market where investors gather to buy/sell shares.
Market value of common stock = 12000 / 200 = 60 per share Preferred shares are different from common shares