logo

Assignment on Company Law

   

Added on  2020-05-03

7 Pages1263 Words49 Views
Running head: COMPANY LAWCompany LawName of the StudentName of the UniversityAuthor Note

1COMPANY LAWThe Australian Securities ExchangeThe Stock Exchange of Australia which helps as a market operator which facilitates thepayments to the buyers and sellers and provides details to all the investors to be aware of thelisting norms.The Australian Securities Exchange offersequities, warrants, ETFs and REITs,and other securities. The operation of ASX is regulated by the Australian Securities andInvestment Commission (Exchange 2014).The roles of Australian Securities Exchange are as follows:In order to ensure that the share market in Australia runs smoothly, the ASX plays an importantrole. These are as follows:1. The Australian Securities Exchange allows the Companies in order to raise funds and capitalfor running of the business. The ASX allows the companies and the trusts so that the companiescan issue shares to the general public so that the company is able to raise funds. Once thecompany is listed, the investors can trade on the securities of that company.2. The ASX ensures that the market is open for the investors to trade on the securities of theCompany. The share market consists of the buyers and the sellers who buy and sell theirsecurities in the exchange. Nowadays the buyers and sellers enter into buy and sell and this isdone electronically. Before the opening of the computerized trading system, the ASX had aphysical location of trading (Basu and Forbes 2014). 3. The ASX provides for a system where ASX helps in the transfer of ownership of thesecurities. This is done by computerized system which helps in the transfer of the legal

2COMPANY LAWownership of the shares from the sellers to the buyers and thus also helps in the transfer of thesesecurities. 4. The ASX has set some of the listing rules and regulation so that the companies that are listedin the stock exchange of Australia follow those rules and regulation. The listing rules affectingthose companies which are operating follows the rule of “continuous disclosure” and thus thelisted companies have to inform any details of the companies which might affect the share priceto the ASX (Exchange 2015). 5. Whenever the listed companies are going for any kind of acquisition or merger and theyrelease in the financial report, and announce any change in company management. Thecompanies inform the ASX about the release of the information which is sensitive in the market(Rose 2014). The functions of the Australian Securities Exchange are:The Australian Securities Exchange functions as a market operator and thus functions asa clearing house and which helps in the facilitation of the payment system. The ASX also helpsin the checking of the compliance and checks whether the companies have followed the rules andpromotes the standards of corporate governance among those listed companies listed in Australiaand it helps to educate the retail investors (Tricker and Tricker 2015).The companies which are domestic and are internationally located are listed on ASX .Ithas issuers such as the Corporations and trust which have a variety of listed securities andfinancial products.The most important function of the Australian Securities and InvestmentCommission is to supervise the market and to regulate the companies operating in Australia.

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Australian Securities Assignment 2022
|9
|2845
|21

Corporate Governance and Ethics: PDF
|5
|1193
|83

Company Law
|7
|1177
|449

Business Finance | Share Market of Australia
|6
|1572
|27

Investigation and Report
|8
|1981
|81

Principle of Financial Marketing - PDF
|18
|4077
|36