Companies usually sell off a part of their business ownership to the general public in return for some amount of money. Investors, on the other hand, purchase the shares being offered by the organization and thus enjoy ownership rights within the company. This makes them the shareholders of the organization. These company shares or stocks are referred to as equities.
Equities, like other financial commodities are frequently traded i.e. bought and sold on the share/stock markets. This trading takes place in two distinct markets viz. Primary and Secondary. Companies are listed via an IPO (Initial Public Offering) in the case of the primary financial market. Hence, the new financial securities can be easily found in the primary market. However, the buying and selling of equities that have already been launched or issued happens in the secondary market. At present, investors have access to over 1300 securities for engaging in equities trading on the NSE (The National Stock Exchange) and more than 6000 on the BSE (The Bombay Stock Exchange).