Critically examine the role of SEBI since 1991.
Answers
Answer:
Role of SEBI:
1. Restricts Illegal Practices
It forbids illegal and fraudulent practices of the firm which operate in the securities market.
2. Safeguard Investor’s Interest
It protects an investor’s interest in the Capital Market through guidance and proper education.
3. Regulate working of Exchanges
It regulates and keeps a check on the working of Stock Exchanges and other aspects of the Securities Market.
4. Monitor the workings of Mutual Funds
It monitors and regulates the working of Mutual Funds. It keeps a tight supervision on their business operations and protects investors from any unfair practices.
5. Monitor the functioning of Intermediaries
Keeps a tight check on the functioning of the intermediaries like Merchant Bankers, StockBrokers and other intermediaries present in the Capital Market.