Which of the following statements is not true with regard to the stock exchange?

(a) By providing a ready market, it extends liquidity to the securities.

(b) It curbs the marketability of the securities.

(c) It provides a platform for buying and selling old securities.

(d) It provides a platform for buying and selling new securities.

Answer (b) It curbs the marketability of the securities.

Explanation: A stock exchange, bourse, or securities exchange is a trade where traders and stockbrokers can sell and buy securities, like shares or bonds, stock, and other monetary instruments. Stock exchanges may likewise give facilities for the redemption and issue of instruments, securities, and capital events like paying dividends and income. A stock exchange is an open place for trading securities; hence it doesn’t curb the marketability of the securities.

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