Question

Which is the service provided by the stock exchange to the investors?

• A. Price discovery
• B. Economic mirror
• C. Capital formation
• D. Wider dissemination of security prices

Answer 1

The correct option is D Wider dissemination of security prices

Wider dissemination of security prices- this service is provided by the stock exchange to the investors. Stock exchange leads to capital formation as prices of securities with a variable return continue to increase over long term. Stock exchange has a provision to list the securities for trading. This is a service given to corporate sector.