Securities and Exchange Board of India (SEBI)

The Securities and Exchange Board of India (SEBI) is the regulatory body for securities and commodity market in India under the administrative domain of Ministry of Finance within the Government of India. It was established
on 12 April 1988 as an executive body and was given statutory powers on 30 January 1992 through the SEBI Act, 1992.

Key functions of SEBI:
• To protect the interests of investors in the securities market.
• To promote the development of a fair and efficient securities market.
• To regulate the securities market and to ensure that all participants in the market comply with the laws and regulations.
• To prohibit fraudulent and unfair trade practices in the securities market.
• To promote investor education and awareness.

Key powers of SEBI:
• To investigate and prosecute violations of securities laws and regulations.
• To impose penalties on violators.
• To issue guidelines and regulations for the securities market.
• To conduct inspections and audits of securities market intermediaries.
• To register and regulate securities market intermediaries.

SEBI has played a significant role in the development and growth of the Indian securities market. It has implemented a number of reforms to improve the market’s efficiency, transparency, and accountability. SEBI has also played a key role in protecting the interests of investors.

Impact of SEBI on the Indian securities market: 

• SEBI has helped to improve the transparency and efficiency of the Indian securities market.
• SEBI has helped to protect the interests of investors by prohibiting fraudulent and unfair trade practices.
• SEBI has promoted investor education and awareness.
• SEBI has helped to develop the Indian securities market into one of the largest and most vibrant markets in the world.

Memebers

The SEBI is managed by its members, which consists of the following:
• The chairman is nominated by the Union Government of India.
• Two members, i.e., Officers from the Union Finance Ministry.
• One member from the Reserve Bank of India.
• The remaining five members are nominated by the Union Government of
India, out of them at least three shall be whole-time members.

Overall, SEBI has played a vital role in the development and growth of the Indian securities market. It has helped to make the market more transparent, efficient, and accountable. SEBI has also played a key role in protecting the interests of investors.