Stock Exchange Index (SEI)

Stock Exchange Index is a measure of relative changes in prices of stocks from one period to another index. Nairobi Stock Exchange 20 – share Index (20 companies) (Daily basis) Stanchart Index – From 25 most active companies in a Read More …

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Factors Influencing Share Price of a firm

All sorts of influences affect share prices. These influences include: 1. The recent profit record of the company especially the recent dividend paid to shareholders and the prospects of their growth and stability. 2. The growth prospects of the industry Read More …

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Advantages of Investing In Shares

1. Income in form of dividends When you have shares of a company you become a part-owner of that company and therefore you will be entitled to get a share of the profit of the company which come in form Read More …

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The Role of Stock Exchange in Economic Development

1. Raising Capital for Businesses The Stock Exchange provides companies with the facility to raise capital for expansion through selling shares to the investing public. 2. Mobilising Savings for Investment When people draw their savings and invest in shares, it Read More …

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Functions of the Nairobi Stock Exchange

The basic function of a stock exchange is the raising of funds for investment in long-term assets. While this basic function is extremely important and is the engine through which stock exchanges are driven, there are also other quite important Read More …

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The Idea and Development of a Stock Exchange

Stock exchange (also known as stock markets) are special “market places” where already held stocks and bonds are bought and sold. They are, in effect, a financial institution, which provides the facilities and regulations needed to carry out such transactions Read More …

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Financial Intermediaries

These are institutions which mediate or link between the savers and investors. There are numerous financial intermediaries in Kenya and include the following. 1. Commercial Banks. They act as intermediary between savers and users (investment) of funds. 2. Savings and Read More …

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