What is the role of Securities and Exchange Board of India in the securities market?

SEBI is a statutory regulatory body established on the 12th of April, 1992. It monitors and regulates the Indian capital and securities market while ensuring to protect the interests of the investors, formulating regulations and guidelines.

What is the reason for the establishment of Securities and Exchange Board of India?

The Securities and Exchange Board of India was established as an interim administrative body on 12 April 1988 by the Government of India. ADVERTISEMENTS: Its main objective was to promote orderly and healthy growth of securities and to provide protection to the investors.

Why was Securities and Exchange Board of India SEBI set up explain any four objectives of SEBI?

SEBI’s objectives are: To monitor the activities of the stock exchange. To curb fraudulent practices by maintaining a balance between statutory regulations and self-regulation. To define the code of conduct for the brokers, underwriters, and other intermediaries.

When was the Securities and Exchange Board of India mode into a statutory body?

The Securities and Exchange Board of India (SEBI) is the regulatory body for securities and commodity market in India under the jurisdiction of Ministry of Finance , Government of India. It was established on 12 April 1988 and given Statutory Powers on 30 January 1992 through the SEBI Act, 1992.

How does SEBI protect the interest of investors explain?

SEBI has taken various measures such as screen based trading system, dematerialization of securities, T+2 rolling settlement, and framed various regulations to regulate intermediaries, issue and trading of securities, corporate restructuring, etc. to protect the interests of investors in securities.

When and why was SEBI established?

The Securities and Exchange Board of India was constituted on April 12, 1988 as a non-statutory body through an Administrative Resolution of the Government for dealing with all matters relating to the development and regulation of the securities market and investor protection and to advise the Government on all these …

Which committee recommended the establishment of SEBI?

the Narasimham Committee
The SEBI was given statutory recognition in 1992 on the recommendation of the Narasimham Committee. The Securities and Exchange Board of India (SEBI), was initially constituted on April 12, 1988.

How does SEBI protects the interest of investors explain?

How does SEBI regulate the stock market?

SEBI’s primary functions include protecting investor interests, promoting and regulating the Indian securities markets. All financial intermediaries permitted by their respective regulators to participate in the Indian securities markets are governed by SEBI regulations, whether domestic or foreign.

What is an NFO period?

Definition: A new fund offer (NFO) is the first time subscription offer for a new scheme launched by the asset management companies (AMCs). After the NFO period, investors can take exposure in these funds only at the prevailing NAV.

How SEBI regulates the business of security market?

To eliminate malpractices of security markets. To train the persons associated with security markets and also to encourage investors’ education. To check insider trading of securities. To supervise the working of various organisations trading in security market and also to ensure systematic dealings.