The full form of SEBI is Securities and Exchange Board of India. A statutory regulatory body called SEBI is in charge of regulating the Indian capital markets. It governs the stock market and protects investor interests by putting into place particular laws and rules.
On April 12, 1992, SEBI was founded under the 1992 SEBI Act. The SEBI headquarters are in Mumbai, India, and the organisation also maintains regional offices in other important Indian cities, including New Delhi, Kolkata, Chennai, and Ahmedabad.
Excel in IELTS with India’s Top Online Coaching
Leap has helped more than 1 Lakh students achieve 7+ IELTS band.
Goals of the SEBI
The primary goal of SEBI is:
- Ensuring the systematic operation of the Indian capital market and offering investors a clean investment environment.
- SEBI was primarily established to prevent capital market fraud in India and promote capital market expansion.
SEBI Organization
Like any other commercial organisation, SEBI is hierarchically organised into divisions headed by supervisors. A list of some of SEBI’s departments is shown below:
- Information Technology
- Office of International Affairs
- National Institute of Securities Market
- Foreign Portfolio Investors and Custodians
- Human Resources Department
- Foreign Portfolio Investors and Custodians
- Commodity and Derivative Market Regulation Department
Excel in IELTS with India’s Top Online Coaching
Leap has helped more than 1 Lakh students achieve 7+ IELTS band.
SEBI members
In addition to department heads, the senior management of SEBI is composed of a board of directors hired as follows:
- The Union Government of India hires one chairman and five members
- The Indian Union Finance Ministry employs two members
- RBI (Reserve Bank of India) recruits a single member to the SEBI organization.
SEBI Functions
SEBI meets the needs of three parties productive in the Indian Capital Market. Stated below are these three participants:
- Secures the Interests of Investors and Traders
- Issuers of the Securities
- Intermediaries of Finance
SEBI Powers
SEBI ‘s power and functions are set out in the SEBI Act of 1992. SEBI has three powers which are listed below:
- Quasi-judicial: Rulings and instructions passed.
- Quasi-executive: performing enforcement and investigations.
- Quasi-legislative: Rules of Procedure.