ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The Securities and Exchange Board of India was established as a statutory body in the year 1992 and the provisions of the Securities and Exchange Board of India Act, 1992 (15 of 1992) came into force on January 30, 1992.

Detailed explanation-2: -The Securities and Exchange Board of India (SEBI) is the regulatory authority established under the SEBI Act 1992 and is the principal regulator for Stock Exchanges in India.

Detailed explanation-3: -SEBI was given statutory status and powers through an Ordinance promulgated on January 30, 1992. SEBI was established as a statutory body on February 21, 1992.

Detailed explanation-4: -Answer: The primary function of the SEBI as a regulator in the Indian financial sector is to ensure that the Indian stock markets operate in a safe and orderly way. India’s Securities and Exchange Board was established to defend the investors’ interests and brokers in the Indian stock market.

Detailed explanation-5: -Capital Market: Capital market is a market for long-term debt and equity shares. In this market, the capital funds comprising of both equity and debt are issued and traded. This also includes private placement sources of debt and equity as well as organized markets like stock exchanges.