This article throws light upon the four main factors responsible for success of right issue. The factors are: 1. Condition of Investment Market 2. Effect of Rights Issue on Earning per Share 3. Size of Rights Issue 4. Pricing of the Rights Issue. Success of Right Issue: Factor # 1. Condition of Investment Market: It is primarily the attraction of [...]
This article throws light upon the four main guidelines for the issue of bonus shares. The guidelines are: 1. Conditions for Bonus Issue 2. Restriction on Bonus Issue 3. Bonus Shares only against Reserves, etc. if Capitalised in Cash 4. Completion of Bonus Issue. Guideline # 1. Conditions for Bonus Issue: Subject to the provisions of the Companies Act, 1956 [...]
This article throws light upon the top five institutions of money market. The institutions are: 1. Commercial Bank 2. Central Bank 3. Acceptance Houses 4. Non-banking Financial Intermediaries 5. Bill Brokers. Institution # 1. Commercial Bank: Commercial banks are the back bone of the money market. They form one of the major constituents of the money market. These banks use [...]