Question
Capital Market is useful for the corporate sector.

Answer

  • Capital Market is the market that provides loans for long-term periods. It is controlled by SEBI.
  • It uses shares, debenture bonds, Mutual funds.
  • The corporate sector issues these securities in the market and attracts saving from investors by offering them a variety of schemes. These savings become capital and get invested in the business.
  • It is helpful to develop the corporate and industrial sectors.
  • Thus, the capital market is useful for the corporate sector.

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