Stock Corporate Actions
What is an upper and lower circuit in stocks?
In the stock market, an "upper circuit" refers to the maximum price limit a stock can reach in a single trading day, while a "lower circuit" represents the minimum price it can fall to within the same session. These price limits are predetermined by ...
What is a circuit breaker in stock trading?
A circuit breaker is a safety mechanism used by stock exchanges to temporarily halt trading if there is a sudden and steep fall in the stock market. These measures are put in place to prevent panic selling, control excessive volatility, and maintain ...
What is a stock buyback?
A stock buyback, also known as a share repurchase, is when a company buys back its own shares from the stock market or directly from its shareholders. When a company repurchases its shares, the total number of shares available in the market reduces. ...
What is stock split?
A stock split is a corporate action where a company increases the number of its shares by dividing each existing share into multiple new shares. While this increases the number of shares available in the market, the overall value of the company ...
What are stock market halts, and why do they happen?
A stock market halt is a temporary pause in trading for a stock or the entire market. It happens automatically when prices move too fast or manually when regulators (SEBI) need to investigate any unusual activities. Stock exchanges like NSE and BSE, ...
What is a bonus issue?
A Bonus Issue involves a company distributing additional shares to its existing shareholders free of charge, based on the number of shares they already own. This action increases the total number of shares in circulation but does not change the ...
What is a rights issue?
A rights issue is a way for publicly listed companies in India to raise additional capital by offering existing shareholders the right to buy additional shares at a discounted price, in proportion to their current holdings. This method is used to ...
Popular Articles
What is an online trading platform?
An online trading platform is a software application that allows investors and traders to buy and sell financial instruments such as stocks, bonds, commodities, currencies, derivatives (like Futures and Options), and other assets through the ...
What is a stockbroker, and why do I need one?
A stockbroker is a SEBI-registered individual or company that acts as a middleman between you and the stock market. In India, you can’t directly buy or sell shares on the stock exchanges like NSE (National Stock Exchange) or BSE (Bombay Stock ...
What is a speculative stock?
A speculative stock is a high-risk stock that offers the potential for high returns. Speculative stocks are often associated with companies that are new, have uncertain prospects, or are undergoing major changes. Speculative stocks appeal to ...
What is technical analysis in stock trading?
Technical Analysis is a method used by traders and investors to evaluate financial instruments like stocks, commodities, and currencies by analyzing historical market data—primarily price and volume. Unlike fundamental analysis, which examines a ...
What are the different types of mutual funds?
The Securities and Exchange Board of India (SEBI) has classified mutual funds into five main categories based on their investment instruments: Equity Schemes: These funds primarily invest in equity and equity-related instruments. SEBI has defined ...