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NISM Certifications · NISM-Series-VII: Securities Operations and Risk Management · Introduction to the Securities Market

A SEBI-registered stock broker wants to know who is primarily responsible for regulating the Indian securities market and protecting investors' interests. Which body was established for this purpose under the SEBI Act?

SEBI, the Securities and Exchange Board of India, is the regulator established under the SEBI Act, 1992 to protect investors, promote the development of the securities market and regulate it. The MPC, RoC and IRDAI have different mandates unrelated to regulating securities markets.

  1. ASecurities and Exchange Board of IndiaCorrect
  2. BReserve Bank of India's Monetary Policy Committee
  3. CMinistry of Corporate Affairs' Registrar of Companies
  4. DInsurance Regulatory and Development Authority of India

Explanation

SEBI was established under the SEBI Act, 1992 to protect investor interests, promote development of the securities market and regulate it. The MPC deals with monetary policy, the RoC handles company registration, and IRDAI regulates insurance.

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