Presented by : sanjay Parmar sub- ifs mba(agribusiness)

12th April 1988. Statutory recognition on 31st January 1992, by an ordinance of the president of India. Established as a surveillance body.

Protect the interest of investors in securities. Promote the development of capital market by ensuring flow of saving in it. Promote development of the securities market with the reasonable regulation thereof. Facilitates companies to raise their finances at minimum cost along with fair practices. Prohibit insider trading in securities. Restrict transaction pertaining to acquisition of shares & take over of companies. Impose monetary penalties on capital market intermediaries & other participants for a range of violations. Exercises the power as may be delegated to it by the government.

Regulating the business in stock exchange and any other securities market Registering and regulating the workings of intermediaries associated with securities market Registering and regulating the working of collective investment schemes including mutual funds Promoting and regulating self-regulatory organizations

Promoting investors education and training of intermediaries in securities market Prohibiting insiders trading in securities Regulating substantial acquisition of shares and take-over of companies Calling for information, undertaking inspection, conducting enquiries and audits of the stock exchanges, intermediaries and self-regulatory organizations in the securities market

Primary Mkt. dept.

Issue Mgt. & Intermediaries Dept.

Departments
Secondary Mkt. dept.

Advisory Committees

Institutional Invt.

Primary Market
Secondary Market SEBI regulates Mutual Funds Foreign Institutional Investment

Measures undertaken by SEBI:Entry norms Promoters contribution

Disclosure
Book building Allocation of shares Market intermediaries

Entry norms
Track record of dividend payment for minimum 3 yrs. preceding the issue. Already listed companies - when post-issue net worth becomes more than 5 times the pre-issue net worth

For Manufacturing company not having such track record appraise project by a public financial institution or a scheduled commercial bank

Promoters contribution
Should not be less than 20% of the issued capital.

Receiving of promoters contribution.

Lock in period as per SEBI.

Cases of non-under written public issues

Book building.
SEBI recommends two-tier under writing system. One of the mode of public issue thru prospectus. Role of syndicate members and book runners. Minimum 30 centers.

Allocation of shares
Minimum application of shares.

Reservation for small investors.

Allotment of securities.

SEBI & Secondary Market

Reforms in the secondary market:Governing board Infrastructure

Settlement & clearing

Debt market Price stabilization

Governing board
Brokers and non-brokers representation made 50:50 60% of brokers in arbitration, disciplinary & default committees For trading members 40% representation Infrastructure

On-line screen based trading terminals

Settlement & clearing

Weekly settlements Auctions for non-delivered shares within 80 days of settlement

Warehousing facilities permitted by SEBI.

Debt market segment

Regulates thru SEBI (depository & participants) regulation Act 1996. Listing of debt instruments Investment. Range for FIIs Dual rating for above Rs.500 million Price stabilization Division to monitor the unusual movements in prices . Monitor prices of newly listed scrip from the first day of trading.

Circuit breaker system and other monitoring restrictions could be applied

Fair deals to investors , informed choices & decision. Regulating malpractices of company management. Builds investors confidence in securities through efficient , orderly & clean markets.