Stock Market Operations Related Services
Stock exchanges in India have a long history exceeding 175 years. These institutions have witnessed extreme change in their ownership and governance structure over the period of time, from a purely closed club of trading members to full demutualization, and from an organization resembling more a self regulatory organization to a SEBI regulated entity. To serve the overarching goal of market development, financial inclusion, transparency, developing and operating efficient and risk free trading system, continuous modifications have been made from time to time in the management and functioning of the stock exchanges. Along with stock exchanges, other institutions (depositories and clearing corporations) which are as much an essential part of the market infrastructure, for achieving the above motives also developed. These institutions (i.e., stock exchanges, depositories and clearing corporations) are systemically necessary for the country’s financial development and serve as the infrastructure important for the securities market. These institutions are collectively referred to as Market Infrastructure Institutions (MIIs).
For the smooth functioning of these MIIs, government has issued different Acts. SEBI has also specified various regulations from time to time for such purpose, which is time to time changed as to respond to the changes in the requirements of the market and in keeping with financial and technological advancement world over. Development is a continuous process and each modification brings a new challenge. The case of MII’s has been no different.
There are different risks that companies are exposed to and when you invest in equity, your returns are affected by these risks. These are
- Business risks i.e. the risks concerned with the prosperity of a business and the demand for its products
- Financial risks like the skill with which a company’s funds are managed to assure that it has an optimum level of debt, equity, reserves, etc.
- Industry risk like changes in technology, regulations, fashions, etc., also have an impact on the performance of an industry
- Management risks like the level of corporate governance, management skills and vision
- Political, economic and exchange rate risks i.e. these factors affect a company but are outside its control
- Market risks i.e. the risk that the market will collapse, or that you have invested at the peak, which determine your returns on your equity investment.
What VJM & Associates Offers
VJM & Associates work closely for BSE Limited, National Stock Exchange, Delhi , Mumbai, Delhi, Ahmedabad & Uttar Pradesh and other regional Stock Exchanges. We work for many groups listed with BSE Limited and offer various services catering specific needs. We provide the Stock market services under the following categories.
- Conduct of Internal Audit of operations of the Depository Participants, at intervals of less than three months and furnish a copy of the internal audit report to National Securities Depositories Limited (NSDL).
- Concurrent Audit in case of Demat Account opening, Control and Verification of Delivery Instruction Slips.
- Conduct of Internal Audit of operations of the Depository Participants at such intervals as may be prescribed by CDS from time to time and furnish a copy of the internal audit report to Central Depository Services (India) Limited (CDS).
- Certificate of Net worth to be submitted to Bombay Stock Exchange Limited by all active members comprising representative members of Cash segment, Limited Trading members & Trading and/or Clearing members of the Derivatives segment of the Bombay Stock Exchange.
- Certificate to National Stock Exchange Limited on;
- Details of directors/proprietor in format C-3 as per Annexure 4.3 of Annual Return submitted by Trading Member to the Stock Exchange.
- Details of shareholding pattern/sharing pattern of corporates in format C-6 as per Annexure 4.4(a) of Annual Return submitted by Trading Member to the Stock Exchange.
- Details of shareholding pattern/sharing pattern of firms in format C-6 as per Annexure 4.4(b) of Annual Return submitted by Trading Member to the Stock Exchange.