PRESENTED BY :- ATIMA SUNARYA (599) KRITIKA GUPTA (602) SATAMITA GHOSH (608) FMRS PRESENTATION BANKING AND FINANCE (LLM) 2ND SEMESTER

An investor is a person who allocates capital with the expectation of a financial return and utilizes investment in order to grow their money.

this includes financial person who invests to earn profit in future by investing in different types of securities.

like shares, mutual funds, debentures etc.

Safeguarding the interests and rights of investors by the regulatory authorities through various legislations and associated rules.

it is a multi dimensional concept requiring checks at various levels such as:

Company level- disclosure and corporate governance norms

stock broker level- self regulated organization of brokers.

stock exchange level- each stock exchange has its own mechanism for investor protection.

AGAINST COMPANIES :-

DELAY IN TRANSFER OF SHARES. NOT PAYING DIVIDEND. DELAY IN PAYMENT OF DIVIDEND. NOT ISSUING THE ORIGINAL SHARES.

AGAINST BROKERS :- NOT ISSUING THE AGREEMENT NOTE. TAKING HIGH PAYMENTS AT THE TIME OF

SALES AND PURCHASES.

TAKING HIGH PRICES AT THE TIME OF PURCHASING OF SHARES.

AGAINST DEPOSITORY PARTICIPANTS: DEBITING THE DEMAT A/C NOT SENDING THE ACCOUNT DESCRIPTION

BY THE ACCOUNT HOLDER.

MINISTRY OF FINANCE RESERVE BANK OF INDIA SECURITY EXCHANGE BOARD OF INDIA (SEBI) BOMBAY STOCK EXCHANGE (BSE) NATIONAL STOCK EXCHANGE (NSE)

The Ministry of Finance regulates through the Department of Economic Affairs - Capital Markets Division. The division is responsible for formulating the policies related to the orderly growth and development of the securities markets (i.e. share, debt and derivatives) as well as protecting the interest of the investors.

investor protection act foreign direct investment

FOREIGN INVESTMENT PROMOTION BOARD

LEADING STOCK EXCHANGES

NATIONAL STOCK EXCHANGE. BOMABY STOCK EXCHANGE. ROLE OF STOCK EXCHNAGES IN INVESTOR

PROTECTION-

stock exchange is required to set out and implement rules and regulations to govern the securities market.

These rules and regulations extend to member registration, securities listing, transaction monitoring, compliance by members to SEBI / RBI regulations, investor protection etc. Each stock exchange has a set of Rules and

Regulations specifically applicable to each of its trading segments. stock exchanges as entities regulated by SEBI

undergoes regular inspections by them to ensure compliance.

TO PROMOTE THE INTEREST OF INVESTORS , SO THAT, THERE IS A STEADY FLOW OF SAVINGS INTO THE CAPITAL MARKET.

TO PROMOTE HEALTHY AND ORDERLY GROWTH OF THE SECURITIES MARKET AND SECURE INVESTOR PROTECTION.

TO REGULATE THE SECURITIES MARKET AND ENSURE FAIR PRACTICES.

TO PROMOTE EFFICIENT SERVICES BY BROKERS, MERCHANT BANKERS, FINANCIAL INTERMEDIARIES , SO THAT, THEY BECOME COMPETITIVE AND PROFESSIONAL.

REGULATORY FUNCTION DEVELOPMENTAL FUNCTION

REGULATIONS OF STOCK EXCHANGES AND SELF REGULATORY ORGANIZATIONS. REGISTRATION AND REGULATION OF STOCK BROKERS

, SUB BROKERS , REGISTRARS OF ALL ISSUES , MERCHANT BANKERS, UNDERWRITERS , PORTFOLIO MANAGERS ETC. REGISTRATION AND REGULATION OF THE WORKING

OF COLLECTIVE INVESTMENT SCHEMES INCLUDING MUTUAL FUNDS. PROHIBITION OF FRAUDULENT AND UNFAIR TRADE

PRACTICES RELATING TO SECURITIES MARKET. PROHIBITING INSIDER TRADING.

PROMOTING INVESTOR EDUCATION TRAINING OF INTERMEDIARIES CONDUCTING RESEARCH AND PUBLISHING

INFORMATION USEFUL TO ALL MARKET PARTICIAPANTS.

PROMOTING FAIR PRACTICES PROMOTION OF SELF REGULATORY

ORGANISATIONS.

SEBI ISSUED OMBUDSMAN REGULATION IN 2003 TO PROVIDE FAIR AND TRANSPARENT SYSTEM OF REDRESSAL OF GRIEVANCE. THESE REGULATION EMPOWER AN INVESTOR TO GET

REDRESSAL AGAINST BOTH THE COMPANY AND THE INTERMEDIARIES. COMPLAINTS DEALT BY OMBUDSMAN ACT ARE:

1. DELAYS IN RECEIVING REFUND ORDERS , ALLOTMENT LETTERS, DIVIDEND OR INTEREST.

2. NON RECEIPT OF DIVIDEND , CERTIFICATES, BONUS SHARES, ANNUAL REPORTS , REFUNDS IN ALLOTMENT OR REDEMPTION OF MUTUAL FUND UNIT.

3. NON-RECEIPT OF LETTER OF OFFERS IS RESPECT OF BUY BACK OF SHARES OR INCASE OF DELISTING

securities market awareness campaign 2003 SEBI (investor educations and protection

fund)regulations 2009

SEBI (issue of capital and disclosure requirements) regulations, 2009