What is bulk deal in stock market?

A bulk deal is a stock market transaction in which a large number of shares are bought or sold in a single session. Bulk deals are usually carried out by institutional investors such as Mutual Funds, Banks or insurance companies.

Key Features of Bulk Deal

1. Minimum quantity: The total number of shares bought or sold must be at least 0.5% of the company's total shares.
2. Trading window: Bulk deals can take place during regular trading hours.
3. Price: The price is determined by market forces.
4. Transparency: The identities of the buyer and seller are disclosed to the public.
5. Cost-effectiveness: Bulk deals can be more economical than buying or selling smaller shares.