ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Indian Capital Markets are regulated and monitored by the Ministry of Finance, The Securities and Exchange Board of India and The Reserve Bank of India. providing efficient legislative framework for securities markets.

Detailed explanation-2: -The main duty of SEBI is to regulate the Indian Capital markets. It monitors and regulates the stock market and protects the interests of the investors by enforcing certain rules and regulations.

Detailed explanation-3: -SEBI regulates how the security markets and stock exchanges function. SEBI regulates how transfer agents, stock brokers and merchant bankers, etc, function. SEBI handles the registration activity of new brokers, financial advisors, etc. SEBI encourages the formation of Self-regulatory Organizations.

Detailed explanation-4: -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.

Detailed explanation-5: -The basic functions of Sebi is to protect the interests of investors in securities and to promote and regulate the securities market. Sebi is run by its board of members. The board consists of a Chairman and several other whole time and part time members. The chairman is nominated by the union government.