When we have to buy vegetables and fruits, where will we go? I think the answer is simple- in the local vegetable market. Well, that’s ok. Now we have to buy branded clothes, we go to any outlet or maybe go to a shopping mall. In the same way, have to go to the stock market for the buying & selling of shares.

stock/Share Market and its Structured Participants
Share market

The main purpose of the stock market is to facilitate equity transactions and it is a palace where we can find buyers and sellers for our stocks/shares shopping.

But here is a catch, unlike other supermarkets; this market does not exist in a physical form. It exists in a virtual form or more likely in electronic form. You can visit this market electronically by your laptop or smartphone and buy or sell shares and can participate in this.

In India, there are mainly 2 main stock exchanges.

  1. National stock exchange (NSE)
  2. Bombay stock exchange (BSE)

What is the National stock exchange (NSE):

National Stock Exchange of India Limited is the leading stock exchange of India, located in Mumbai, Maharashtra. It is under the ownership of some leading financial institutions, banks, and insurance companies. NSE was established in 1992 as the first dematerialized electronic exchange in the country.

What is the Bombay stock exchange (BSE):

The Bombay Stock Exchange is an Indian stock exchange located on Dalal Street in Mumbai Established in 1875. it is the oldest stock exchange in Asia, and also the tenth oldest in the world.

Who is the Share market Participants?

This market is very big and has many participants. To understand this market very well we have to know these all participants and members very well.

  1. Domestic Retail Participants
  2. NRI and OCI
  3. Domestic institutional investors (DII)
  4. Asset management companies (AMC)
  5. Foreign institutional investors (FII)

What is Domestic Retail Participant?

These are people like you and me participating in this market for trading and investing. Normally every individual Indian who is buying or selling shares is a domestic retail participant.

What is NRI & OCI?

NRI (Non-Resident Indian)

Non-Resident Indian is the person who does not live in India but has roots connected through parents or others.

OCI (Overseas citizen of India)

Overseas citizen of India are foreigners or citizens who want to work or to study within the Indian Territory. Despite the name, OCI status is not citizenship and does not grant the right to vote in Indian elections or hold public office.

What is the Domestic institutional investor (DII)?

Domestic Institutional Investors are Indian institutions like insurance companies, mutual fund houses, pension funds, or provident funds. . DIIs generally use the portion of money from the funds gathered from policies or saving accounts of the country’s people and then trade in different securities and assets.

Example: LIC, all Banks and etc.

What is the Asset management companies (AMC)?

Asset management companies (AMC) are money management firms that invest pooled funds from clients, putting the capital to work through different investments including stocks, mutual funds, bonds, real estate, master limited partnerships, and more with the help of their fund managers.

Example: Nippon India, Birla sun life, SBI mutual fund, etc.

foreign institutional investor (FII)

What are the foreign institutional investors (FII)?

A foreign institutional investor (FII) is an investor or investment agency or an investment fund that invests in India from any other nation. it means that outside entities investing in the nation’s financial markets. They play a big role in the development of our economy. The amount of funds they invest is very considerable.

Example: foreign asset Management Company, Hedge fund, etc.


These all types of people, companies, and investors are part of this share market and make a perfect eco-system. The motto of all is one- to make a profit out of Buying or selling the stocks and make money, a lot of money.

they all work in a very systematic and structured way. everyone has their own importance working. after all that there are some other independent bodies, their work is to watch this market so that its working does not hamper.

all this discussion will take place in this article.

till then Thankyou very much for reading.

you guys are so amazing.

keep learning, keep growing and educate yourself.

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