JNDIAN FINANCIAL MARKETS: AN INTRODUCTION

Financial markets crate an environment that·helps people trade money for fi ancial assets such as equity shares or commodities like gold or other precious metals. There are different players in the market who take charge of matching capital supply and demand. Investors, both individual and institutional, provide capital to the market in anticipation of returns as promised by the borrowers or users of capital. Banks and other financial intermediaries facilitate the movement of capital between lenders and borrowers. Securities market consists of various financial institutions that collectively support the issuance and trading of securities. These are various channels that create assets pools such as mutual funds and pension funds. Financial markets facilitate allocation of resources over time through a price mechanism such as interest rate, which is affected by forces of supply and demand. In market economies, the interactions between buyers and sellers determine the demand for and supply of resources. Thus the allocation of resources is determined by market forces. In view of this the present paper through the light on introductory aspects relating to Indian Financial Market. The globalizations several of the erstwhile command economies, which were driven by the plans p_rescribed by heir respective government, have apparently moved towards market economies. Today, the global financial markets are well integrated and harmonization of the rules and regulations and reduction of barriers to trade have been facilitating free flow of resources between nations as result local companies had to come out their protective cover, provided by the government. The corporate are compete for their share of market and resources in the global arena. The developing countries have become highly vulnerable to the speculative capital movements in and out of their economies, several of the emerging markets are able to consolidate or improve their competitive position by exploiting the newly created opportunities, by virtue of this several companies from the emerging mar'kets are industry leaders and global market players.