SECURITIES AND

EXCHANGE BOARD OF
INDIA
PRESENTED BY
JASEEL.K
13MD033

INTRODUCTION
SEBI

(Securities Exchange Board of India)

was constituted on april 12, 1988 as a nonstatutory body.
It is an apex body to develop and regulate
the stock market in India.
SEBI is the regulator for the securities market
in India , originall set up by the govt. of India
in 1988, it acquired statutory form in 1992
with SEBI Act,1992 being passed by the Indian
Parliament.

Salient features of SEBI act

1992
Shall

be a body corporate with perpetual succession an common

seal with power to acquire hold and dispose of Salient
features of SEBI act 1992property.
Head Office will be in Mumbai and may establish offices at
other places in India.
Chairman and members of board will be appointed by the
central government.
Government can prescribe terms of offices and other conditions
of service of the board and chairman.
Primary duties of the board is to protect the interest of the
investors

STRUCTURE OF SEBI
The

board shall consists of the following members : Chairman

Two members, one from amongst the officials of
the Central government dealing with finance and
another from the administration of Companies
Act,1956.
One member from amongst the officials of the
Reserve Bank of India.
Five other members of whom at three shall be the
whole time members to be appointed by the
Central Government.

IMPORTANCE OF SEBI

Power to make rules for controlling stock

exchange
To provide license to dealers and brokers
To Stop fraud in Capital Market
To Control the Merge, Acquisition and Takeover
the companies
To audit the performance of stock market
To make new rules on carry - forward
transactions
To create relationship with ICAI

POWER OF SEBI

Power to make rules for controlling stock

exchange
To provide license to dealers and brokers
To Stop fraud in Capital Market
To Control the Merge, Acquisition and Takeover
the companies
To audit the performance of stock market
To make new rules on carry - forward
transactions
To create relationship with ICAI

FUNCTIONS OF SEBI

The SEBI act 1992 has entrusted with

two functions they are :
Regulatory functions and
Developmental functions

REGULATORY FUNCTIONS

Regulation of stock exchanges and self regulatory

organizations.
Registration and regulation of stock brokers , subbrokers , registrars of all issues, merchant bankers,
underwriters, portfolio managers.etc
Registration and regulation of the working of
collective investment schemes including mutual funds.
Prohibition of fraudulent and unfair trade practices
relating to securities market.
Prohibiting of insider trading.

DEVELOPMENTAL
FUNCTION

Promoting investors education.

Training of intermediaries.
Conducting research and publishing information
useful to all market participants.
Promoting of fair practices.
Promotion of self regulatory organizations.

THANK YOU