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Financial Market | Equity | Debenture | Hindi

November 22, 2019


Today, we will understand about financial market, its types, pros and cons We will cover share, debentures and equity in this topic Hello friends, I am Sahil Khanna and you are watching Intellectual Indies Today we will talk about Financial Market What is Financial Market? Financial market monitors input and output of cash flow of a country Rising and falling rate of a country comes under financial market What are the types of financial market? There are 2 types : Money market and Capital market Cash flow in money market is short term whereas in capital maarket it is for long term Let’s take an example where Ramdev ji wants to make TV using peepal tree under Swadeshi movement He requires 1000 crores. He has 500 crores and for other half he approaches baank Bank refuses to give money stating that it is risky Ramdev ji approaches you and said you to give money on which he will give you 20% interest This way is known as Debentures You don’t have to give full 500 crores Ramdevi ji has divided 500 crores into small parts of 100,500 Rs etc Take as much debentures you like and you get 20% interest on that accordingly This whole process of taking loan is known as debt So company has a way called debt Second way is Equity What is equity? Suppose you have opened a company with your friend You and your friend had invested 40 and 60 crores respectively. How much share you hold? You hold 40% and your friend hold 60% This is Partnership Lets take it in vaague terms. Suppose wipro wants to start a new project for which it need 500 crores Wipro approaches you for money and ask you to become its partner This is known as equity Lets assume a Share Value is 1 Rs. So for 500 crores there will be 500 crores shares Tata purchased 100 shares so 20% equity is now owned by Tata This is equity and shares Trading is a different concept Lets say a company share value is worth 1000 Rupess And company value is 1000 Crore So if Company value increases to 2000 cr,share value rises to 2000 Rs, due to which demand n supply gap increases As demand increases, share value increases So now the share price increases to 2300 Rs You now maake a profit of 1300 Rs where company gets only 1000 Rs So when company again wants to hold a share it will cost 2300 Rs They will get one Share value as 2300 Rs In this way company evaluation grows and it expands So today you have learnt about equity, debt and capital maarket So friends, this topic ends here If you liked it please like, share and subscribe. Also comment about method you will approach for opening a venture : Equity or Debt? Thank You

7 Comments

  • Reply prashant wala August 10, 2017 at 10:39 am

    Make it for sybaf student

  • Reply prashant wala August 10, 2017 at 10:39 am

    Financial market operation

  • Reply prashant wala August 11, 2017 at 6:01 am

    OK thanks

  • Reply nick khan October 1, 2017 at 2:52 am

    osm sir aur bhe videos digeye foreign trade and exchange per

  • Reply Iconic Youth December 23, 2017 at 6:15 am

    apka contact no. do plz

  • Reply numansha ampuri April 27, 2018 at 9:00 am

    Thank you so much.🙂

  • Reply Mohit Singh Rawat September 13, 2018 at 2:04 pm

    bhai kya baat hai…

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