Common Facts about the National Stock

Exchanges
Before the arrival of national level stock exchanges, India was
not having any exchange of national
statusbetter say there was no Indian stock market but stock
markets showing only regional pictures.
Besides, the national stock exchanges did solve some major
problems of stock market, we may also
call their arrivals as part of the stock market reforms in India.
The common features of these
exchanges are:
(a) all are situated in Mumbai;
(b) all do screen-based trading (SBT);
(c) all have their trading terminals in the major cities of the
country;
(d) all are web-enabled;
(e) all are limited liability companies;
(f) the brokers registered here have no say in either the
ownership or the management of the
exchanges;
(g) All are counted among the best and the most technologyequipped stock exchanges in the
world.6

Players in the Stock Exchanges

Broker

Broker is a registered member of a stock exchange who buys

or sells shares/securities on his clients
behalf and charges a commission on the gross value of the
dealsuch brokers are also known as
commission brokers.
Brokers who offer services such as investment advice, clients
portfolio planning, credit when a
client is buying on margin other than their traditional
commission job are known as full service
brokers. In India such brokers are just coming up.

Jobber

A jobber is a brokers broker or one who specialises in specific

securities catering to the need of
other brokersin India also known as Taravaniwallah (in the
BSE).7 A jobber is located at a
particular trading post on the floor of the stock exchange and
does buying and selling for small price
differences, called the spread. He has no contact with the
investing public.
In the London Stock Exchange he is called a market-maker
while in the New York Stock Exchange he
is called a specialist. The Bombay Stock Exchange has made
it mandatory for every company with a
share capital of over Rs. 3 cr to appoint jobbers or marketmakers if it seeks enlistment. Such an
arrangement enables investors to buy and sell shares on the
stock exchange and thus liquidity
increases.