BASICS(6): KEY PLAYERS IN THE STOCK MARKET (11)

The piece on key players in the stock market is rounded up today with the following:
 
UNDERWRITERS
 When most companies issue shares to raise new capital, they have ready plans for the deployment of money to be so raised. Yet it does happen at times that the investing public fails to take up fully the total units offered. When this happens, of course, such plans are jeopardised.
Hence in some instances, companies engage professional firms to underwrite such new issues so that in case there is any short fall in subscription, they the underwriters undertake to take up the difference then hopefully, sell it at the market later.
EXTERNAL AUDITORS
These are chartered accountant required by law to go through the books and documents of companies to ascertain and report in writing if the figures and report provided give a true and fair view of the state of affairs of the company as at the date specified in such reports or figures. In the end, they are actually the ones who assure the investing public that claims made and figures released are true and fair. If not, they are free to qualify their report.
COMPANY SECRETARIES
These are employees or contracted professional firms charged with the duty of keeping the register of shareholders of the company. They ensure it is up to date, that dividends and other entitlements of shareholders are paid or sent when due and generally, handle all issues raised by the investing public to do with shares in the company.
TOMORROW: WHEN TO BUY AND SELL SHARES
 
 

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