SEBI(Securities and Exchange Board of India)
The regulatory authority for the stock market in India and control the functions of the market. SEBI was founded on April 12, 1992, by the SEBI Act 1992.
SEBI makes sure that the Indian securities markets operate effectively and transparently. Additionally, it safeguards everyone’s interests so that no one gains an unfair advantage.
To safeguard the interests of investors, SEBI establishes regulatory frameworks that exchanges, businesses, brokerages, and other participants must adhere to.
SEBI ensures :
- Regulates activities in the stock market through its guidelines, rules, and regulations.
- To safeguard the interests of investors in the Indian stock market.
- To prescribe guidelines for companies issuing shares to the public, including IPOs (Initial Public Offerings).
- To promote the development of the Indian financial market.
- To regulate the business operations of the securities market.
- It regulates various market intermediaries by setting guidelines and standards for their functioning.
- To regulate the tasks entrusted to market participants, depositors, CRA (credit-rating agencies), and other participants.
- To educate investors about securities markets through investor awareness programs.
- To prohibit fraudulent and unfair trade practices within the securities market and related to it.
- To monitor company takeovers.
- To keep the market efficiency intact and updated through proper research and developmental methods.
In summary, SEBI’s role in the context of stock market is very crucial. It make sure that our Indian stock market functions with integrity, transparency and follow all regulations and guidelines made by SEBI.
