2. Module-1
• Learning
objectives:
• Meaning of
Investment
• Definition of
Investment
• Objectives of
Investment
• Types of Investment
• Securities Market
• Primary Market(NIM)
• Book building
• Private placement
• Organized stock
exchanges
• Functions of stock
exchanges
• Listing of securities
• Trading & operational
mechanism of stock
exchanges
• Settlement and
3.
4.
5.
6. Meaning of Investment
• Investment is putting money into something
with the expectation that it will generate
income or the value will appreciate in future or
profit.
7. Definition of Investment
• “Commitment of funds made in the expectation
of some positive rate of return”
• Investment is the employment of funds with the
aim of achieving additional income or growth in
value.
• Expectation of return is an essential element of
investment.
8. Meaning of Investment
• It involves the commitment of resources
which have been saved or put away from
current consumption in the hope some
benefits will accrue in future.
• Investment involves long term commitment of
funds and waiting for a reward in the future.
9. Meaning of Investment
Financial Meaning:
Investment is the commitment of a person’s
funds to derive future income in the form of
interest,divident,premiums,pension or
appreciation in the value of their capital.
10. Meaning of Investment
Economic meaning:
• Net additions to the economy’s capital stock
which consists of goods and services that are
used in the production of other goods and
services.
11. Financial Meaning of Investment
• Financial investment involves of funds in
various assets, such as Stock, Bond, Real
Estate, Mortgages etc.