Stock Market Basics FAQs

How is SENSEX calculated?

BSE (Bombay Stock Exchange) launched Sensex in 1986. It measures the stock price fluctuations of 30 large companies in terms market value, turnover, profit, etc. Every minute, the Sensex's value is calculated. The Sensex's movement indicates that most BSE companies …


Can we transfer funds from equity a/c to commodity a/c directly and vice -versa

As it is prohibited by SEBI Regulations and FMC Regulations,so brokers cannot transfer funds between equity accounts and commodity .


What does ISIN mean?

ISIN (International Securities ID Number) is a unique identification code for a security that can be used across the universe.


Define P/E ratio.

The issue price divided by the latest Earning Per Share EPS is P/E. This ratio will tell you whether the issue is over-priced relative to the industry P/E. If the P/E ratio of the company is lower than that of …


What does EPS (Earning Per share) mean?

EPS is the net post-tax profit of the company which is divided by the issued number of shares by the company.


How can I get a duplicate share certificate if I have lost the XYZ company's share certificate?

This type of issue is often solved by the company's registrar. Contact the company's registrar if you have any questions. If you don't know the name of the company's registrar, please visit the "Investor Relations" section of the company website. …


What does Securities Transaction tax mean?

Securities Transaction Tax (STT), is a tax that is levied on transactions made on stock exchanges. Securities Transaction Tax applies to the purchase or sale of equity shares, equity-oriented mutual funds, and equity-oriented mutual funds. The current STT for the …


Who is a Stock Broker?

A broker is an enrolled member of a stock exchange and is allowed to trade equity securities in that exchange. A broker is an enrolled member of the exchange, and is registered with SEBI. A broker or an intermediary person …