'Investment company' means a company whose principal business is the acquisition of shares, debenture, or other securities. If a company is engaged in any other business to an appropriate extend, then it will not treated as an investment company.
Investment company in actual practice earn their income not only through the acquisition and holding of shares but also by dealing with the shares i.e. to buy with an aim to sell later on a higher price and to sell with an aim to buy on a lower price.
According to Section 2(10A) of Insurance Act, 1938, An investment company means a company whose principal business is the acquisition of shares, stocks, debentures or other securities.
Investment company in actual practice earn their income not only through the acquisition and holding of shares but also by dealing with the shares i.e. to buy with an aim to sell later on a higher price and to sell with an aim to buy on a lower price.
According to Section 2(10A) of Insurance Act, 1938, An investment company means a company whose principal business is the acquisition of shares, stocks, debentures or other securities.
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