Roles and functions of sebi

The Securities and Exchange Board of India (SEBI) is the regulator of the securities market in India. Its primary objective is to protect the interests of investors and ensure the orderly development of the capital market. Here's a breakdown of its key roles and functions:  

Core Objectives:

Protection of Investor Interests: SEBI's foremost goal is to safeguard investors from fraudulent and unfair trade practices.   It strives to ensure that investors have access to accurate and timely information.   Regulation of the Securities Market: SEBI establishes rules and regulations to govern the functioning of the securities market.   It oversees the activities of market participants, including stock exchanges, brokers, and listed companies.   Development of the Securities Market: SEBI works to promote the growth and development of the capital market.   It introduces reforms and initiatives to enhance market efficiency and transparency.  

Key Functions:

Regulatory Functions: Formulating rules and regulations for market participants.   Registering and regulating intermediaries, such as brokers and merchant bankers.   Monitoring and supervising the activities of stock exchanges and clearing corporations. Conducting inspections and audits of market participants. Protective Functions: Prohibiting insider trading and other fraudulent practices.   Promoting investor education and awareness.   Handling investor grievances and disputes.   Developmental Functions: Introducing new instruments and products to the market. Promoting the use of technology in the securities market. Conducting research and analysis to improve market efficiency.   Enforcement Functions: Investigating violations of securities laws.   Taking enforcement actions, such as imposing fines and penalties.   Issuing orders to suspend or debar market participants.

Key Powers:

Quasi-Legislative: SEBI has the power to formulate regulations and guidelines.   Quasi-Judicial: SEBI can adjudicate disputes and pass orders related to securities law violations.   Quasi-Executive: SEBI can enforce its orders and take action against violators.   In essence, SEBI plays a vital role in maintaining the integrity and stability of the Indian securities market, fostering investor confidence, and promoting economic growth.