Question:medium
From the following, identify the one which is not a function of stock exchange:
From the following, identify the one which is not a function of stock exchange:
Show Hint
Stock exchanges regulate and reduce risk but cannot eliminate speculation completely.
Updated On: Jan 13, 2026
- Providing liquidity and marketability to existing securities
- Spreading of equity cult
- Ensuring safety of transactions
- Ensuring that there is no scope for speculation
Show Solution
The Correct Option is D
Solution and Explanation
Stock exchanges facilitate transparency, liquidity, and the spread of equity culture. However, complete elimination of speculation is unfeasible; it is an intrinsic aspect of stock trading. Consequently, option (D) does not align with the functions of a stock exchange.
Final Answer: (D) Guaranteeing the absence of speculation
Final Answer: (D) Guaranteeing the absence of speculation
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