Skip to content

CS Professional · IFSCA - Regulations, Listing and Compliances · Capital Market Intermediaries

Nivaan Securities, a Mumbai broking house, plans to open a unit in GIFT IFSC to deal in securities listed on the International Financial Services Centre exchanges for its overseas clients. Which regulator's framework primarily governs the registration of such a unit as a capital market intermediary in the IFSC?

The International Financial Services Centres Authority governs registration of capital market intermediaries operating in GIFT IFSC. It is the unified regulator for financial services in IFSCs, so a broker's IFSC unit registers with IFSCA rather than with SEBI, RBI or the Registrar of Companies.

  1. AReserve Bank of India alone
  2. BInternational Financial Services Centres AuthorityCorrect
  3. CMinistry of Corporate Affairs through the Registrar of Companies
  4. DSecurities and Exchange Board of India alone

Explanation

IFSCA is the unified regulator for financial products, services and institutions in IFSCs, and it registers capital market intermediaries through its Capital Market Intermediaries Regulations. SEBI, RBI or the MCA do not individually register IFSC intermediaries, so the other options misplace the regulatory authority.

Did you get it right without looking?

One question tells you little. A timed set on Capital Market Intermediaries shows your real accuracy, how long you take and where you lose marks.

Practise Capital Market IntermediariesFree diagnostic mock

More Capital Market Intermediaries questions