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7/31/2019 Sbi Project by Pawan
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COMPANY
PROFILE
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INTRODUCTION OF STATE BANK OF INDIA
The bank traces its ancestry back through the Imperial Bank of India to the founding in 1806
of the Bank of Calcutta, making it the oldest commercial bank in the Indian Subcontinent.
The Government of India nationalised the Imperial Bank of India in 1955, with the Reserve
Bank of India taking a 60% stake, and renamed it the State Bank of India. In 2008, the
Government took over the stake held by the Reserve Bank of India.
State Bank of India (SBI) is the largest bank in India. SBI provides a range of banking
products through its vast network in India and overseas, including products aimed at NRIs.
The State Bank Group, with over 16000 branches, has the largest branch network in India.
With an asset base of $250 billion and $195 billion in deposits, it is a regional banking
behemoth. It has a market share among Indian commercial banks of about 20% in deposits
and advances, and SBI accounts for almost one-fifth of the nations loans. The State bank of
India is 29th most reputable company in the world according to forbes.
Type Public (BSE, NSE:SBI) & (LSE: SBID)
Founded Calcutta, 1806 (as Bank of Calcutta)
Headquarters Corporate Centre, Madam Cama Road, Mumbai 400 021 India
Key people Om Prakash Bhatt, Chairman
Industry Insurance, Banking, Capital Markets and allied industries
Products Loans, Credit Cards, Savings, Investment vehicles, SBI Life
(Insurance) etc.
Revenue Rs.600 billion (2009)
Total assets Rs. 12500 billion (as of 31st March 2008)
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SBI & ITS GROUP COMPANIES
COMPANIES LOGO
SBI Capital Markets Ltd
SBI Mutual Fund (A Trust)
SBI Factors and CommercialServices Ltd
SBI DFHI Ltd
SBI Cards and Payment ServicesPvt Ltd
SBI Life Insurance Co. Ltd Banc assurance (Life Insurance)
SBI Canada
http://en.wikipedia.org/w/index.php?title=SBI_Capital_Markets_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Mutual_Fund&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Factors_and_Commercial_Services_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Factors_and_Commercial_Services_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Factors_and_Commercial_Services_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Factors_and_Commercial_Services_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_DFHI_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Cards_and_Payment_Services_Pvt_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Cards_and_Payment_Services_Pvt_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Cards_and_Payment_Services_Pvt_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Cards_and_Payment_Services_Pvt_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Life_Insurance_Co._Ltd&action=edit&redlink=1http://en.wikipedia.org/wiki/Bancassurancehttp://en.wikipedia.org/w/index.php?title=SBI_Canada&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Canada&action=edit&redlink=1http://en.wikipedia.org/wiki/Bancassurancehttp://en.wikipedia.org/w/index.php?title=SBI_Life_Insurance_Co._Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Cards_and_Payment_Services_Pvt_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Cards_and_Payment_Services_Pvt_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_DFHI_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Factors_and_Commercial_Services_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Factors_and_Commercial_Services_Ltd&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Mutual_Fund&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=SBI_Capital_Markets_Ltd&action=edit&redlink=17/31/2019 Sbi Project by Pawan
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SBI CAP SECURTIES
SBICAP undertakes merchant banking activities, advisory services, project appraisal,
credit syndication and securities broking.
SBICAPs current focus is on infrastructure project advisory and syndication
mandates, particularly in sectors, such as, urban infrastructure and power, which are reckoned
as the growth drivers. The other focus areas are public issues of equity, book-building issues,
debt placements, broking, and sales and distribution.
During the year, SBICAPs forged ahead in issue management, project advisory and
structured finance, sales & distribution. It focused on infrastructure project advisory and
syndication mandates, particularly in the energy sector, which is reckoned as the critical
growth driver in the growth of the economy.
On the international front SBICAPs bagged an infrastructure (water) advisory
assignment from the Ministry of National Economy, Oman and was an integral part of the
team effort for SBIs first acquisition of a bank overseas. It was also associated with SBI for
providing advisory in respect of participation of Societe Generale Asset Management, France
in SBI Mutual Funds.
It handled seven public issues out of the thirty four issues, which hit the primary
market during the period. The Company recorded an improved financial performance during
the year with gross income amounting to Rs.175.06 crore as against Rs.142.75 crore in the
previous year, a y-o-y growth of approx. 23%. PAT of Rs.88.12 crore as against Rs. 63.23
crore in the last year shows a y-o-y growth of approx.40%..
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CONCEPT OF SHARE TRADING IN INDIA
SECURITIES AND EXCHANGE BOARD OF INDIA (SEBI)
Agency overview
Formed 12 April 1992 Jurisdiction Government of India
Headquarters Mumbai, Maharashtra
Employees 643 (2011)
Agency executive U. K. Sinha, Chairman
Website www.sebi.gov.i
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History
The securities and exchange board of India was constituted in 1988 under a resolution
of government of India. It was later made statutory body by the SEBI act 1992.according to
this act, the SEBI shall constitute of a chairman and four other members appointed by the
central government. With the coming into effect of the securities and exchange board of India
act, 1992 some of the powers and functions exercised by the central government, in respect of
the regulation of stock exchange were transferred to the SEBI.
It was formed officially by the Government of India in 1992 with SEBI Act 1992
being passed by the Indian Parliament. SEBI is headquartered in the business district of
Bandra Kurla Complex complex in Mumbai, and has Northern, Eastern, Southern and
Western regional offices in New Delhi, Kolkata, Chennai and Ahmedabad.
Controller of Capital Issues was the regulatory authority before SEBI came into
existence; it derived authority from the Capital Issues (Control) Act, 1947.
Initially SEBI was a non statutory body without any statutory power. However in
1995, the SEBI was given additional statutory power by the Government of India through an
amendment to the Securities and Exchange Board of India Act 1992. In April, 1998 the SEBI
was constituted as the regulator of capital markets in India under a resolution of the
Government of India.
The SEBI is managed by six members, i.e. By the chairman who is nominated by
central government & two members, i.e. officers of central ministry, one member from the
RBI & the remaining two are nominated by the central government. The office of SEBI is
situated at Mumbai with its regional offices at Kolkata, Delhi & Chennai.
Who is a Depository Participant?
A Depository Participant (DP) is an agent of the depository through which it
interfaces with the investor and provides depository services. Public financial institutions,
scheduled commercial banks, foreign banks operating in India with the approval of the
Reserve Bank of India, state financial corporations, custodians, stock-brokers, clearing
corporations /clearing houses, NBFCs and Registrar to an Issue or Share Transfer Agent
complying with the requirements prescribed by SEBI can be registered as DP. Banking
services can be availed through a branch whereas depository services can be availed through
a DP.
As on September 30, 2008, a total of 711 DPs (266 NSDL, 445 CDSL) are registeredwith SEBI.
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INTRODUCTION TO DEPOSITORY
The Depositories Act
The Depositories Act, 1996, ushered in an era of efficient capital market
infrastructure, improved investor protection, reduced risks and increased transparency of
transactions in the securities market. It also immensely benefited the issuer companies, in
terms of reduced costs and the effort expended in managing their shareholder populace.
Perhaps, no other single act other than the Depositories Act has had such profound all round
impact on every single stakeholder in the Indian capital markets. This legislation envisaged
multiple depositories in India to ensure benefits of competition for the users of the depository
system.
The Depositories Act which facilitated establishment of depositories (like CDSL) in
India sought to effectively curb irregularities in the capital market, and protect the interests of
the investors, and paved a way for an orderly conduct of the financial markets through free
transferability of securities with speed, accuracy, transparency etc. Due to the introduction of
the depository system, the investors are able to enjoy many benefits like free and instant
transferability in a secured manner at lower costs, free from the problems like bad deliveries,
odd-lots etc. Today the tradable lot is reduced to one unit hence even a common man is
able to invest money in one equity share or bond or debenture. The investor is able to save a
lot on account of stamp duty as government has exempted stamp duty on transfer of securities
at present. Investors are also spared from the problems of preserving the securities held in
physical form.
What is a Depository?
The Depositories Act defines a depository as a company formed and registered under
the Companies Act, 1956 and which has been granted a certificate of registration under
subsection (1A) of section 12 of Securities and Exchange Board of India Act, 1992. The
main function of a depository is to dematerialize securities and enable their transactions in
book entry form.
As per The Bank for International Settlements (BIS), depository is a facility for
holding securities which enables securities transactions to be processed by book entry.
Physical securities may be immobilized by the depository or securities may be dematerialized
(so that they exist only as electronic records).
In simple terms depository is an organization where securities of an investor are heldin electronic form.
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Number of Depositories in India
At present two Depositories:-
1.) National Securities Depository Limited (NSDL)NSDL is a public limited company incorporated under the Companies Act, 1956. Four
renowned institutions participate in it. Unit Trust of India (UTI), Industrial Development
Bank of India (IDBI), National Stock Exchange of India (NSE), State Bank of India
(SBI).UTI is the largest mutual fund of India and IDBI is the largest development bank, NSE
is the largest stock exchange of India and SBI is the largest commercial bank of India having
clearing facility. HDFC and Citibank also share in this system. NSDL is managed by Board
of directors headed by a managing director. It is governed by its bye-laws and its business
operations are regulated by business rules. NSDL interfaces with the investors through
players or business partners. Constituents of depository compromise of clearing corporation,
brokers, clearing member, registrar and transfer agents, company or issuer, stock exchange,
bank depository participant and investors. All are electronically linked to the main depository
for the settlement of trades and to perform a daily reconciliation of all accounts held with
NSDL.
2.) Central Depository Services (India) Limited (CDSL)Second agency is CDSL - Central Depository Service (India) Limited. Main functions of
this agency are centralized database and accounting. Major participant in CDSL are LIC, GIC
and BSE. This agency is set up with the object to keep in mind to accelerate growth of
scripless trading, with major thrust of individual participation and creating competitive
environment, responsible to the users interests and demands to enhance liquidity. CDSL
aims to retain the entire data of the investors in the central database of CDSL.
NSDL and CDSL essentially perform the following functions through their various
participants
1. Enable surrender and withdrawal of securities to and from the depository.
2. Maintain investor holdings in the electronic form.
3. Effect settlement of securities traded on the Exchanges.
4. Carry out settlement of trades not done on the Stock Exchanges i.e. Off Market Trades.5. Coordination of benefits accruing on the depository accounts of investors.
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CORPORATE PROFILE
MISSION OF SBI CAPITAL SECURETIES:
Their mission is to be a leading, preferred service provider to our customer, and they aim to
achieve this leadership position by building an innovative, enterprising, and technology
driven organization which will set the highest standards of service and business ethics.
OVERVIEW:
SBICAP Securities Ltd (SSL) is a 100% subsidiary of SBI Capital Markets Ltd which is one
of the oldest players in the Indian Capital Market and has a dominant position in the Indian
primary capital markets. SBI Capital Markets Ltd. commenced broking activities in March2001 to fulfill the secondary market needs of Financial Institutions, FIIs, Mutual Funds,Banks, Corporate, High Net worth Individual, Non-residential Investors and Retail domestic
investors. SBICAP Securities Ltd. (SSL) is a company, which has been formed to take over
the broking operations of SBI Capital Markets Ltd. SSL commenced operations in the first
quarter of financial year of 2006-2007
Services currently offered include Institution Equity, Retail Equity, Derivatives, Broking,
Depository Participant services, E-Broking.
SSL is registered with the Securities Exchange Board of India for its various services, a
summary of which is as under:
Registered with/as Registration no.
SEBI -Stock Broker-NSE INB231052938
SEBI- Stock BrokerBSE INB011053031
SEBI- Stock Broker-NSE- F&O INF231052938
SEBI- Depository Participant IN-DP-CDSL-370-2006
SSL, which commenced its operations in June 2006, is a broking company offering equity
broking services to retail and institutional clients both in the Cash as well as in the Futures
and Options segments. It is also engaged in sales & distribution of other financial products
like Mutual Funds, etc. The Company has launched e-broking services to the clients of SBI
and Associate Banks. SSL has 48 branches and 18 franchisees and offers Demat, e-broking,
e-IPO and e-MF services to both retail and institutional clients.
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SBICAPSEC is the 100 per cent subsidiary of SBI Capital Markets Limited, which has a
share holding of 86.16 per cent by State Bank of India and Asian Development Bank, which
owns 13.84 per cent
SBI CAPITAL MARKETS LIMITED (SBICAPS) is India's leading investment bank and
project advisor, assisting domestic companies fund-mobilization efforts for last many years.
Foreseeing the changing needs of clients in a rapidly opening economy, over the years, we
have evolved an array of advisory services in almost all sectors of the economy. We are
known for professionalism and business ethics and provide a full range of Investment,
Advisory and Financial Services under one umbrella. A pioneer in privatization in India, we
have established ourselves as a leader in providing financial and advisory services in the coresector and infrastructure industries
MILESTONES
SBICAPS Ventures Limited (SVL)
SBICAPS Ventures Limited (SVL), a USD 100 million Venture Capital Fund, jointly with
SBI Holdings Inc. (Softbank), Japan has invested USD 8 million in two companies and a
number of investment proposals are being
examined. The scope of the fund covers all sectors except real estate
and financial services.
SBICAP (UK) Ltd.
SBICAP (UK) Ltd., which is only in its second full years operation,
has booked revenue of Rs. 2.14 crores up to March 2009 as against Rs.
1.51 crores as on March 2008. The company has posted a net profit of
Rs.0.44 crores in March 2009, as against a loss of Rs.0.36 crores last
year due to diversification of income streams.
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SBICAP TRUSTEE Co Ltd. (STCL)
SBICAP TRUSTEE Co Ltd. (STCL) has commenced security trustee business with effect
from1st August 2008. The companys gross income upto31.03.2009 is Rs. 0.44 crores and net
profit is Rs.0.14 crores.
PRODUCT & SERVICES OF SBICAP SECURITIES
Equity Derivatives Mutual Fund IPO Depositories
MANAGEMENT:
Mr. S. Vishvanathan - Chairman
Mrs. Swati Desai - Managing Director
Shri S H Visweswariah - Whole time Director
Dr Manoj Vaish - Independent Director
Shri R. Sridharan - non-Executive Director
Our Mission - To provide Credible, Professional and Customer Focused world-classinvestment banking services.
Our Vision - To be the best India based Investment Bank.
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Dematerialization
Meaning of Dematerialization
Dematerialization is a process by which physical certificates of an investor are
converted into electronic form and credited to the account of the depository participant.
Dematted securities do not have any certificate numbers or distinctive numbers and are dealt
only in quantity, i.e., the securities are replaceable.
Investors can dematerialize only those certificates that are already registered in their
names and are in the list of securities admitted for dematerialization. These are: shares,
scrips, stocks, bonds, debentures, stock or other marketable securities of a like nature in or of
any incorporated company or other body corporate, units of mutual funds, rights under
collective investment schemes and venture capital funds, commercial paper, certificate of
deposit, securities debt, money market instruments and unlisted securities, underlying sharing
of American Depository Receipts and Global Depository Receipts issued to non-resident
holders. Dematerialization is the process of converting physical holdings into electronic form
with the depository wherein the share certificates are shredded and corresponding entry of the
number of shares is done in the opened with the depository.
The securities held in dematerialized form are fungible; that is, they do not bear any
notable feature like distinctive number, folio number or certificate number. Once shares get
dematerialized, they lose their identity in terms of share certificate distinctive numbers and
folio numbers.
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Steps involved in Dematerialization Process
1. Client/ Investor submits the DRF (Demat Request Form) and physical certificates to DP.
DP checks whether the securities are available for demat. Client defaces the certificate by
stamping ' Surrendered for Dematerialization'. DP punches two holes on the name of the
company and draws two parallel lines across the face of the certificate.
2. DP enters the demat request in his system to be sent to NSDL/CDSL.
2. NSDL/CDSL records the details of the electronic request in the system and forwards the
request to the R&T Agent.
3. R&T Agent, on receiving the physical documents and the electronic request, verifies and
checks them. Once the R&T Agent is satisfied, dematerialization of the concerned securities
is electronically confirmed to NSDL/CDSL.
4. NSDL/CDSL credits the dematerialized securities to the beneficiary account of the
investor and intimates the DP electronically. The DP issues a statement of transaction to the
client.
1
DPInvestor
2
2A
NSDL/
CDSL
3R&T Agent
4
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STOCK EXCHANGES IN INDIA
At present there are 23 stock exchanges recognized under the securities contracts
(regulation), Act, 1956.
Those are:
1. Ahmadabad Stock Exchange Association Ltd.2. Bangalore Stock Exchange3. Bhubaneshwar Stock Exchange Association4. Calcutta Stock Exchange5. Cochin Stock Exchange Ltd.6. Coimbatore Stock Exchange7. Delhi Stock Exchange Association8. Guwahati Stock Exchange Ltd9. Hyderabad Stock Exchange Ltd.10.Jaipur Stock Exchange Ltd11.Kanara Stock Exchange Ltd12.Ludhiana Stock Exchange Association Ltd13.Madras Stock Exchange14.Madhya Pradesh Stock Exchange Ltd.15.Magadh Stock Exchange Limited16.Meerut Stock Exchange Ltd.17.Mumbai Stock Exchange18.National Stock Exchange of India19.OTC Exchange of India20.Pune Stock Exchange Ltd.21.Saurashtra Kutch Stock Exchange Ltd.22.Uttar Pradesh Stock Exchange Association23.Vadodara Stock Exchange Ltd.
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NSE (National Stock Exchange)
The National Stock Exchange of India Limited has genesis in the report of the High Powered
Study Group on Establishment of New Stock Exchanges, which recommended promotion of
a National Stock Exchange by financial institutions (FIs) to provide access to investors from
all across the country on an equal footing. Based on the recommendations, NSE waspromoted by leading Financial Institutions at the behest of the Government of India and was
incorporated in November 1992 as a tax-paying company unlike other stock exchanges in the
country. On its recognition as a stock exchange under the Securities Contracts (Regulation)
Act, 1956 in April 1993, NSE commenced operations in the Wholesale Debt Market (WDM)
segment in June 1994. The Capital Market (Equities) segment commenced operations in
November 1994 and operations in Derivatives segment commenced in June 2000.
NSE's mission is setting the agenda for change in the securities markets in India. The
NSE was set-up with the main objectives of:
Establishing a nation-wide trading facility for equities and debt instruments.
Ensuring equal access to investors all over the country through an appropriate
communication network.
Providing a fair, efficient and transparent securities market to investors using electronic
trading systems.
Enabling shorter settlement cycles and book entry settlements systems, and
Meeting the current international standards of securities markets.
The standards set by NSE in terms of market practices and technology, have become
industry benchmarks and are being emulated by other market participants. NSE is more than
a mere market facilitator. It's that force which is guiding the industry towards new horizonsand greater opportunities
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BSE (Bombay Stock Exchange)
The Stock Exchange, Mumbai, popularly known as "BSE" was established in 1875 as
"The Native Share and Stock Brokers Association". It is the oldest one in Asia, even older
than the Tokyo Stock Exchange, which was established in 1878. It is a voluntary non-profit
making Association of Persons (AOP) and is currently engaged in the process of converting
itself into demutualised and corporate entity. It has evolved over the years into its present
status as the premier Stoc Exchange in the country. It is the first Stock Exchange in the
Country to have obtained permanent recognition in 1956 from the Govt. of India under the
Securities Contracts (Regulation) Act 1956.The Exchange, while providing an efficient and
transparent market for trading in securities, debt and derivatives upholds the interests of the
investors and ensures redresses of their grievances whether against the companies or its own
member-brokers. It also strives to educate and enlighten the investors by conducting investor
education programmers and making available to them necessary informative inputs.
A Governing Board having 20 directors is the apex body, which decides the policies
and regulates the affairs of the Exchange. The Governing Board consists of 9 elected
directors, who are from the broking community (one third of them retire ever year by
rotation), three SEBI nominees, six public representatives and an Executive Director & Chief
Executive Officer and a Chief Operating Officer.
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The Executive Director as the Chief Executive Officer is responsible for the day-to-
day administration of the Exchange and the Chief Operating Officer and other Heads of
Department assist him. The Exchange has inserted new Rule No.126 A in its Rules, Byelaws
pertaining to constitution of the Executive Committee of the Exchange. Accordingly, an
Executive Committee, consisting of three elected directors, three SEBI nominees or public
representatives, Executive Director & CEO and Chief Operating Officer has been constituted.
The Committee considers judicial & quasi matters in which the Governing Board has powers
as an Appellate Authority, matters regarding annulment of transactions, admission,
continuance and suspension of memberbrokers, declaration of a member-broker as defaulter,
norms, procedures and other matters relating to arbitration, fees, deposits, margins and other
monies payable by the member-brokers to the Exchange, etc.
REGULATORY FRAME WORK OF STOCK EXCHANGE
A comprehensive legal framework was provided by the Securities Contract
Regulation Act, 1956 and Securities Exchange Board of India 1952. Three tier regulatory
structure comprising
Ministry of finance
The Securities And Exchange Board of India
Governing body
Members of the stock exchange:
The securities contract regulation act 1956 has provided uniform regulation for the
admission of members in the stock exchanges. The qualifications for becoming a member of
a recognized stock exchange are given below:
The minimum age prescribed for the members is 21 years.
He should be an Indian citizen.
He should be neither a bankrupt nor compound with the creditors.
He should not be convicted for fraud or dishonesty.
He should not be engaged in any other business connected with a company.
He should not be a defaulter of any other stock exchange.
The minimum required education is a pass in 12th standard examination.