NISM RTA CORPORATE COURSE

I. Introduction to Securities

• Categorization of securities into equity, debt and hybrid
• Characteristics of securities

II. Characteristics of Equities

• Rights of common shareholders
• Par value, Face value and share premium
• Dividend calculation and distribution
• Authorized capital
• Issued capital
• Outstanding shares
• Paid-up shares
• Placement of preferred shares and features
• Share buy-back
• Rights issue

III. Characteristics of Other Securities

• Warrants
• Types of convertible bonds
• Types of depository receipts
• Fully convertible currency bonds (FCCBs)

IV. Characteristics of Debt Instruments

• Payment terms
• Face value
• Coupon
• Term to maturity
• Market value
• Current yield
• Yield to maturity
• Corporate debt securities
• Government securities
• Methods of corporate debt retirement
• Types of fixed and floating rate instruments and relevant benchmarks
• Standards and significance of credit rating of debt instruments
• Types of money market instruments and features
• Government debt securities and features
• Company fixed deposits and features 

V. Basics of Mutual Funds

• Structure and objective of a mutual fund
• Units of a fund, face value and ongoing value.
• Benefits of mutual funds to investors
• Characteristics of open and closed end funds
• Assets Under Management (AUM)
• Net Asset Value (NAV)
• Unit Capital
• Types of mutual fund products and classification by investment category
• Returns as dividends and capital gains

VI. SEBI’s Role and Relevant Regulations

• Securities market regulatory environment
• SEBI’s and role
• SEBI’s powers
• Investor Protection
• SEBI (Registrars to an Issue and Share Transfer Agents) Regulations, 1993
• SEBI (Intermediaries) Regulations, 2008
• SEBI (Depositories and Participants) Regulations, 1996

VII. Public Offer of Securities -Features

• Types of public issue and private placements
• Types and process of Initial Public Offer
• Buyback process through tenders, stock exchanges and reverse book building

VIII. Private Placement of Shares

• Qualified Institutional Placement
• Rights Issues

IX. Public Offer of Securities -Processes

• Concepts in Public Issue of Shares
• Underwriting
• Green Shoe Option
• Sequence in IPO Process
• Features of Fixed Price Offering
• Features of Book Built Offering

X. Roles and Responsibilities in a Public Issue

• Role of the Registrar and Transfer Agent (R&T) in dematerialization and rematerialization of securities
• Role of the R&T agent in reconciliation of daily balances
• Role of the R&T agent in transfer of ownership of physical securities
• Role of the R&T agent in issue of duplicate certificates
• Role of the R&T agent in stop transfer for certificates reported Lost/ Stolen
• Role of the R&T agent in issue of new certificates in corporate reorganizations

XI. Depository Services

• Registration as a Depository and its role
• Registration as a DP
• Role of DP in transfer, transmission and transposition
• Delivery Instruction Slip (DIS)
• Ownership of dematerialised securities
• Rights of Beneficial Owners

XII. Process related to Depositories

• Process for pledging and hypothecation
• Dispatch of periodic statements of accounts
• Role of R&T and DP in providing information to issuers
• Role of DP in downloading beneficiary positions to R&T agents
• Role of R&T and DP in reflecting corporate actions
• Process of trading and settlement of market and off-market trades
• Process of reconciliation of records between the Depository and R&T agent

XIII. Investor Servicing Processes

• Processes related to recording changes of address, bank & Power of Attorney
• Processes related to dividend / interest payments
• Processes related to transfer of ownership of securities
• Processes related to issue of duplicate certificates
• Processes related to lost securities and Stop Transfer instructions
• Processes related to transmissions and deletions
• Processes related to handling shareholder inquiries and complaints

XIV. Role of stock exchanges and other participants in the secondary market

• Role of the secondary market
• Role of the stock exchanges
• Role of various participants in the stock markets
• Advantages of listing
• Salient features of the listing agreement