✓ Board-verified
Business Studies · 2024 · 3 marks
Financial MarketsSecurities and Exchange Board of India (SEBI) - Objectives and Functions3 marksshort answer
CBSE 2024 · Region 2 · Set 1 · Q23
a) State any three 'regulatory functions' of Securities and Exchange Board of India.
(a)
State any three 'regulatory functions' of Securities and
Exchange Board of India.
OR
(b)
State any three objectives of Securities and Exchange Board of
India.
Marking-scheme solution
. Regulatory functions of SEBI:
1. Registration of brokers and sub-brokers and other players in the market.
2. Registration of collective investment schemes and Mutual Funds.
3. Regulation of stock brokers, portfolio exchanges, underwriters and
merchant bankers and the business in stock exchanges and any other
securities market.
4. Regulation of takeover bids by companies.
5. Calling for information by undertaking inspection, conducting enquiries
and audits of stock exchanges and intermediaries.
6. Levying fee or other charges for carrying out the purposes of the Act.
7. Performing and exercising such power under Securities Contracts
(Regulation) Act $\displaystyle 1956$, as may be delegated by the Government of India.
. Objectives of SEBI:
1. To regulate stock exchanges and the securities industry to promote their
orderly functioning.
2. To protect the rights and interests of investors, particularly individual
investors and to guide and educate them.
3. To prevent trading malpractices and achieve a balance between self-
regulation by the securities industry and its statutory regulation.
4. To regulate and develop a code of conduct and fair practices by
intermediaries like brokers, merchant bankers etc., with a view to making
them competitive and professional.
More from Financial Markets
- From the following, identify the one which is a function of stock exchange:2024
- Veena received ₹ 40 lakhs as a gift from her father. She was discussing various avenues of investing her money with her brother. He advised Veena to…2025
- ‘Capital Market instruments are riskier both with respect to returns and principal repayment as compared to Money Market instruments.’ This…2023
- Keeping in mind the emerging nature of the securities market in India, Securities and Exchange Board of India was entrusted with the twin task of…2023
- ‘Neo Appliances Ltd.’, a company known for its innovative kitchen devices was established in 2001. Over the years, the company performed well and the…2026
- Which of the following statements is? incorrect2023
- Differentiate between Capital Market and Money Market on the basis of: (i) Investment outlay (ii) Instruments (iii) Safety OR State how the following…2026
- The process of holding securities in electronic form is called dematerialisation. Which of the following statement does not relate to…2023
CBSE Class 12 Business Studies past-paper question from the 2024 board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.