BANKING AFFAIRS

Detailed explanation-1: -Small saving in national savings certificates is the component of post office. It is not the component of India’s Securities Market since small savings in national savings certificate is not issued in the market where the securities are issued.

Detailed explanation-2: -The four important elements of securities markets are the investors, the issuers, the intermediaries and regulators. An investor is the backbone of the capital market of any economy as he is the one lending his surplus resources for funding the setting up or expansion of companies, in return for financial gain.

Detailed explanation-3: -The Reserve Bank of India is India’s central banking institution, which controls the monetary policy of the Indian rupee. RBI is not a part of capital market.

Detailed explanation-4: -1.2 A Government Security (G-Sec) is a tradeable instrument issued by the Central Government or the State Governments. It acknowledges the Government’s debt obligation.