Financial System

Indian Economic System(CSC)

Title

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Indian Economy - Understanding the basics of Indian economic system

In India, which of the following can trade in Corporate Bonds and Government Securities?

1. Insurance Companies

2. Pension Funds

3. Retail Investors

Select the correct answer using the code given below:

This questions was previously asked in

UPSC CSP GS Previous Year Paper 2024

1 and 2 only

2 and 3 only

1 and 3 only

1, 2 and 3

1, 2 and 3.

All three categories listed (Insurance Companies, Pension Funds and Retail Investors) can trade in corporate bonds and government securities in India.
Insurance company creates insurance products to take on risks in return for the payment of premiums.
Pension funds are financial mechanisms that provide retirement income for employees after their working life.
A retail investor, also known as an individual investor, is a non-professional investor who buys and sells securities or funds.