SECURITIES EXCHANGE BOARD

OF INDIApresented by RAJIV RANJAN Section- B Roll. No.- 74

ESTABLISHMENT 12th April 1988. Statutory recognition on 31st January 1992, by

an ordinance of the president of India. Established as a surveillance body.

OBJECTIVES Protect the interest of investors in securities. Promote the development of capital market by ensuring flow of saving in it. Promote development of the securities market with the reasonable regulation thereof. Facilitates companies to raise their finances at minimum cost along with fair practices. Prohibit insider trading in securities. Restrict transaction pertaining to acquisition of shares & take over of companies. Impose monetary penalties on capital market intermediaries & other participants for a range of violations. Exercises the power as may be delegated to it by the government.

Function of SEBIRegulating the business in stock exchange and any other securities market Registering and regulating the workings of intermediaries associated with securities market Registering and regulating the working of collective investment schemes including mutual funds Promoting and regulating self-regulatory organizations

Cont.. Promoting investors education and training of intermediaries in securities market Prohibiting insiders trading in securities Regulating substantial acquisition of shares and take-over of companies Calling for information, undertaking inspection, conducting enquiries and audits of the stock exchanges, intermediaries and selfregulatory organizations in the securities market

Organization of SEBIPrimary Mkt. dept.

Issue Mgt. & Intermediaries Dept. Departments Secondary Mkt. dept.

Advisory Committees

Institutional Invt.

6

SEBI Regulates

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SEBI regulates

Primary Market

Secondary Market

Mutual Funds

Foreign Institutional Investment

7

DEVELOPMENTAL FUNCTIONS Promoting investors safety & education. Training of intermediaries. Promotion of fair practices. Dissemination of information collected

through its own research

SEBI & Primary MarketMeasures undertaken by SEBI: Entry norms Promoters contribution Disclosure Book building Allocation of shares Market intermediaries

SEBI & Secondary MarketReforms in the secondary market:1. Governing board 2. Infrastructure 3. Settlement & clearing 4. Debt market 5. Price stabilization

POWERS Registration & regulation of business in stock

exchanges & dealers therein. Registration & regulation of the working of collective investments scheme. Promoting & regulating self-regulating organization. Promoting fraudulent & unfair trade practices. Promoting investors education & trading. Conducting of inspection of stock exchanges. Conducting research

ADVANTAGES Fair deals to investors , informed choices &

decision. Regulating malpractices of company management. Builds investors confidence in securities through efficient , orderly & clean markets.

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