ABOUT ISHTA SECURITIES

Initial Public Offering

An initial public offering (IPO) is the initial offering of the stock of a private company to the public. IPOs are mostly issued by smaller, younger companies looking for capital to expand, but they may also be done by large privately owned companies which are looking to become publicly traded. In an IPO, the firm issuing the IPO obtains the assistance of an underwriting firm, which helps to determine what type of security needs to be to issued, the best offering price, amount of shares to be issued and the perfect time to bring it to the market. The following steps are taken before an IPO launch:

• An external IPO team is developed which consists of an underwriter, lawyers, certified public accountants (CPAs) and Securities and Exchange Commission (SEC) experts.
• The entire Information of the company is compiled, including financial performance and expected future operations, which becomes part of the company prospectus and is circulated for review.
• The financial statements are then submitted for an official audit.
• The company files its prospectus and sets a date for offering.

Derivatives (NSE)

• Index Futures: Index futures are futures contracts on a stock or financial index. For example, the Nifty50 / Sensex Index is one of the most widely traded index futures contracts in India.
• Index Options: An index option is a financial derivative that gives the holder the right, but not the obligation, to buy or sell the value of an underlying index, such as the Standard and Poor's Nifty50 / Sensex, at the stated exercise price on or before the expiration date of the option.
• Stock Futures: Stock Futures are financial contracts where the underlying asset is an individual stock. Stock Future contract is an agreement to buy or sell a specified quantity of underlying equity share for a future date at a price agreed upon between the buyer and seller.
• Stock Options: A stock option is a privilege, sold by one party to another, that gives the buyer the right, but not the obligation to buy or sell a stock at an agreed-upon price within a certain period of time.

Commodity Training

Commodity trading is in a lot ways similar to stock trading, but the biggest difference is the asset in itself that is traded. It focuses on purchasing and trading commodities rather than company shares as it is done in stock trading. Similar to stocks, trading is done on exchange basis where investors purchase or trade products in order to generate profit from the fluctuation of market prices or because of the need of that particular product. Commodity trading works on the principle of supply and demand wherein limited supply causes an increase in price and excessive supply causes a decrease in price.

Equity Broking

Equity broking is the process of buying and selling of company stocks and shares. Shares of large publicly traded companies are traded through one of the major stock exchanges like BSE, DSE, LSE and many more. Equity trading may be performed by the owner of the shares or by an agent appointed by the owner of the shares.