Urbanization of population with increasing awareness of financial markets

Improving financial conditions of Indian middle class which is exploring new avenues of investment since traditional investment destinations like banks are not giving much returns on investments compared to returns in booming equity markets, mutual funds, etc.

Entrepreneurship is increasing with boom in service sector and expansion of export oriented as well as domestic manufacturing sector.

3.4. Technological Scenario

Advancements in IT and Telecom sectors have made possible world-class infrastructure

Sophisticated on-line trading practices

Real-time availability of information to all stakeholders like investors, regulatory bodies, brokers, corporate, etc.

This analysis can be summarized as follows: -

Indian economy is booming and is being diversified equally in agricultural, manufacturing and services sector

With electronic trading system in place, stock markets are functioning efficiently and improvising on their services by introducing derivatives, bonds and commodities services.

Investors have developed a greater risk appetite and are exploring new avenues of investments that will give higher returns

Existing private players in many industry sectors are in capacity expansion mode while many entrepreneurs are entering the business.

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* Contributed by -
Neha Agarwal & Padmakar Kulkarni,
PGDIM - XI,
NITIE, Mumbai.