Equities represent ownership capital raised by companies from the investing public and are traded on recognized stock exchanges such as the NSE and BSE. Alongside the debt and money markets, the equity market forms a core segment of India's capital markets, offering avenues for capital formation, price discovery, and investment across a diversified base of issuers and investors.
The cash segment involves the outright purchase and sale of listed shares for delivery, settled through the exchange's clearing corporation. It forms the primary market for price discovery in individual stocks and is the most widely accessed segment by retail and institutional investors alike.
