SEBI LAUNCHES SAARTHI APP ON INVESTOER EDUACATION
Why in news:
- Shri Ajay Tyagi, Chairman, SEBI launched “Saa₹thi” – SEBI’s Mobile App on Investor Education at a function held in Mumbai today.
- Launching the SEBI App, Shri Tyagi said, “This Mobile App is yet another initiative of SEBI with a view to empowering investors with knowledge about securities market.
Need of Mobile app:
- With the recent surge in individual investors entering the market, and more importantly a large proportion of trading being mobile phone based, this App will be helpful in easily accessing the relevant information.
- in coming times this App will be popular among the investors especially the young ones.
Aim:
- The SEBI Mobile App aims to create awareness among the investors about the basic concepts of Securities Market, KYC Process, trading and settlement, mutual funds, recent market developments, investor grievances redressal mechanism, etc.
- The App is available in Hindi and English. The Android and iOS versions of the App can be downloaded from Play Store and App Store respectively.
- Shri Tyagi exhorted the need for continuous updating of App contents and making App available in regional languages going forward. Shri S.K. Mohanty, Whole Time Member, Executive Directors and other officials of SEBI attended the function.
About SEBI:
- The Securities and Exchange Board of India (SEBI) is the regulatory body for securities and commodity market in Indiaunder the ownership of Ministry of Finance , Government of India
- It was established on 12 April 1988 and given Statutory Powers on 30 January 1992 through the SEBI Act, 1992
- Headquarters – Mumbai
- Chairman – Ajay Tyagi
Functions of SEBI:
The main primary three functions are-
- Protective Function
- Regulatory Function
- Development Function
1. Protective Functions
As the name suggests, these functions are performed by SEBI to protect the interest of investors and other financial participants.
It includes-
- Checking price rigging
- Prevent insider trading
- Promote fair practices
- Create awareness among investors
- Prohibit fraudulent and unfair trade practices
2. Regulatory Functions
These functions are basically performed to keep a check on the functioning of the business in the financial markets.
These functions include-
- Designing guidelines and code of conduct for the proper functioning of financial intermediaries and corporate.
- Regulation of takeover of companies
- Conducting inquiries and audit of exchanges
- Registration of brokers, sub-brokers, merchant bankers etc.
- Levying of fees
- Performing and exercising powers
- Register and regulate credit rating agency
3. Development Functions
This regulatory authority performs certain development functions also that include but they are not limited to-
- Imparting training to intermediaries
- Promotion of fair trading and reduction of malpractices
- Carry out research work
- Encouraging self-regulating organizations
- Buy-sell mutual funds directly from AMC through a broker
Objectives of SEBI:
- The objectives of the Stock Exchange Board of India are:
1. Protection to the investors
The primary objective of SEBI is to protect the interest of people in the stock market and provide a healthy environment for them.
2. Prevention of malpractices
This was the reason why SEBI was formed. Among the main objectives, preventing malpractices is one of them.
3. Fair and proper functioning
SEBI is responsible for the orderly functioning of the capital markets and keeps a close check over the activities of the financial intermediaries such as brokers, sub-brokers, etc.
