SEBI: Role, Objective, Structure, and Functions of SEBI

1. SEBI: Role, Objective, Structure, and Functions of SEBI The Exchange Board of India, popularly known as SEBI, is a government recognized authority, responsible for regulating the nuances of the Indian financial market. SEBI was initially drafted as a non-statutory body with control over it. But in 1992, the Government of India granted it statutory powers, thus making it an autonomous body. SEBI plays a significant role in security regulation within the Indian market space. Even the best stock broker in India need to abide by the regulations laid down by SEBI. Let’s have a look at the role, structure, objective, and functions of SEBI. Role of SEBI SEBI acts as an ombudsman, precisely a watchdog for the participants or service providers of the Indian capital markets. It thrives to provide a safe ecosystem to the financial market enthusiasts, facilitating smooth and efficient practices in the securities market. SEBI pays keen attention to the innovative schemes offered by the top brokers in India and checks them for malicious-illicit regulations. It connects the main contributors of the financial market namely the security issuers, investors, and the financial intermediaries, making sure that none of them fall prey to draconian practices and debauchery. Security issuers These are the corporate giants that utilize mediums for fund-raising purposes from the market. SEBI ensures that these entities get a transparent and healthy environment for fulfilling their tasks. Investor Investors are the backbone of the market and play a crucial role in keeping the market active. SEBI aims at providing a fair marketspace, void of any malpractices. It ensures that investors are handling their hard-earned money in the right hands, gaining maximum profits from the market.