SEBI (SECURITIES EXCHANGE BOARD OF INDIA)

BY

NAME GANESH GHUDUP AMISH HODAVADEKAR AKSHAY INDULKAR RESHMA JAWALEKAR

ROLL NO 62 63 64 65

SEBI- INTRODUCTION In 1988 the Securities and Exchange Board of India (SEBI) was established by the Government of India through an executive resolution, and was subsequently upgraded as a fully autonomous body (a statutory Board) in the year 1992 with the passing of the Securities and Exchange Board of India Act (SEBI Act) on 30th January 1992. In place of Government Control, a statutory and autonomous regulatory board with defined responsibilities, to cover both development & regulation of the market, and independent powers have been set up. Paradoxically this is a positive outcome of the Securities Scam of 1990-91. The basic objectives of the Board were identified as: to protect the interests of investors in securities; to promote the development of Securities Market; to regulate the securities market and for matters connected therewith or incidental thereto. Since its inception SEBI has been working target ting the securities and is attending to the fulfillment of its objectives with commendable zeal and dexterity. The improvements in the securities markets like capitalization requirements, margining, establishment of clearing corporations etc. reduced the risk of credit and also reduced the market. SEBI has introduced the comprehensive regulatory measures, prescribed registration norms, the eligibility criteria, the code of obligations and the code of conduct for different intermediaries like, bankers to issue, merchant bankers, brokers and sub-brokers, registrars, portfolio managers, credit rating agencies, underwriters and others. It has framed bye-laws, risk identification and risk management systems for Clearing houses of stock exchanges, surveillance system etc. which has made dealing in securities both safe and transparent to the end investor. Another significant event is the approval of trading in stock indices (like S&P CNX Nifty & Sensex) in2000. A market Index is a convenient and effective product because of the following reasons: It acts as a barometer for market behavior; It is used to benchmark portfolio performance; It is used in derivative instruments like index futures and index options; It can be used for passive fund management as in case of Index Funds.

Two broad approaches of SEBI is to integrate the securities market at the national level, and also to diversify the trading products, so that there is an increase in number of traders including banks, financial institutions, insurance companies, mutual funds, primary dealers etc. to transact through the Exchanges. In this context the introduction of derivatives trading through Indian Stock Exchanges permitted by SEBI In 2000 AD is a real landmark. SEBI appointed the L. C. Gupta Committee in 1998 to recommend the regulatory framework for derivatives trading and suggest byelaws for Regulation and Control of Trading and Settlement of Derivatives Contracts. The Board of SEBI in its meeting held on May 11, 1998 accepted there commendations of the committee and approved the phased introduction of derivatives trading in India beginning with Stock Index Futures. The Board also approved the "Suggestive Bye-laws" as recommended by the Dr LC Gupta Committee for Regulation and Control of Trading and Settlement of Derivatives Contracts. CHAIRMAN Upendra Kumar Sinha was appointed chairman on 18 February 2011 replacing C. B. Bhave.[3] The Board comprises Name Upendra Kumar Sinha Prashant Saran Rajeev Kumar Agarwal Dr. Thomas Mathew V. K. Jairath magya Anand Sinha Naved Masood List of former Chairmen Name C. B. Bhave M. Damodaran From 18 February 2008 To 18 February 2011 18 February 2008 Designation Chairman Whole Time Member Whole Time Member Joint Secretary, Ministry of Finance Member Appointed Deputy Governor, Reserve Bank of India Secretary, Ministry of Corporate Affairs

18 February 2005

G. N. Bajpai D. R. Mehta S. S. Nadkarni G. V. Ramakrishna Dr. S. A. Dave

20 February 2002 21 February 1995 17 January 1994 24 August 1990 12 April 1988

18 February 2005 20 February 2002 31 January 1995 17 January 1994 23 August 1990

The government appointed UTI AMC chief U K Sinha as the Chairman of capital markets regulator, the Securities and Exchange Board of India (SEBI). A 1976 batch IAS officer of the Bihar cadre, Sinha replaces C B Bhave who retires on February 17, 2011. Sinha has been appointed as SEBI chief for a period of three years from February 18, 2011, said a notification issued by the government today. He will be the eighth chief of SEBI. "...(Sinha) has been appointed as the Chairman, SEBI, initially for a period of three years with effect from the date he assumes charge of the post on or after February 18, 2011 or till he attains the age of 65 years or until further orders, whichever is earlier," it said. Sinha at present is the chairman and managing director UTI AMC. He also heads the mutual fund industry body AMFI. Previously, he had also worked as a joint secretary in the Ministry of Finance between June 2002 and October 2005. He looked after capital markets, external commercial borrowings, pension reforms and foreign exchange management functions in the ministry. He was also responsible for drafting the SEBI (Amendment) Act, 2002, UTI (Repeal) Act, 2002, t Increase In Stock Market Know Your Market It is critical for any business to know its market in terms of size and composition. What is it worth? How many potential customers are there? How many competitors are there? What is the distribution channel? Is it a mature market or an emerging market? What is your market share, in terms of custoemrs and volume. If you do not know your market, then how can you measure your success in terms of growth in market share. At Gibson Strategy we have established methodologies and processes gained over years of experience in analysing and assessing potential markets and have helped our clients

substantially increase their market share. Market Segmentation One way of knowing your market is through segmentation and is a means of helping us understand more fully the behaviour, attitudes and needs of customers, as well as to identify, size and understand how different segments operate in the market. Segmentation will enhance our clients ability to: Prioritise customers with the best opportunity for profitable growth Develop more focused and differentiated propositions Tailor sales and marketing messages more accurately Align all aspects of client service and admin support Create loyalty and client retention through client service/client satisfaction Identify new opportunities and future high growth areas Creating a Competitive Advantage Once you know your market and your market share, we can start looking at how we can creat a competitive advantage in order to increase market share. INCREASE IN STOCK MARKET Stock markets are never stagnant. They are always moving. Sometimes this movement may be steeper than normal. In some scenarios, the stock market is said to be recessive, that is, there may be a sharp fall in stock prices. Stock prices more often than not, never climb up or fall down linearly. Here, we will find out how not only to protect your business in a recessive stock market, but also to profit from the recession itself. You should try to get some knowledge on the effect of the recession in the lives of the common man. What is recession? Before we discuss on the steps to protect ourselves from stock market recession, it is important to understand who and when does this recession really affect. Remember the tag line, Recession largely affects the short-term or dynamic traders not only unfavorably but also positively! For short-term traders, recession can be either a boon or a bane, depending on how vigilant and quick-acting they are. A successful active trader always looks forward to capitalize on this recession. A sudden rise in stock prices will mean that the active trader will immediately be able to sell his stocks at a higher price and make a profit. In the same way a quick fall also means that he incurs a quick loss. At the same time, a quick fall also provides him an opportunity to buy shares at a much lower price than before. So basically, it all depends on the active trader to use the recession to his advantage.

LongTermInvestors Long-term traders can shout approval at the fact that though recession in the stock market affects them on a day-to-day basis, they always have time to recover. They can do this simply by waiting for the market to climb back up andstabilize. The worst affected victims of stock market recession are the small business owners. But they are also the odds-on to recover from it if they are careful. The tactics

By no means over-stock commodities: Its always possible that commodity prices fall as soon as you have bought a consignment. Hence, never over-stock any commodity. If a price-fall is imminent, come up with offers and clear up your existing stock. Use the Price-protection option: Many well-established manufacturers offer price protection on their commodities. This serves as a guarantee for the small business owner that even if he has to sell his goods at a price lower than his cost price, he will always be reimbursed by the manufacturer. Collect all out-standings receivable. Hire a collection- agency if you cannot do the collections yourself. Even big corporations do this trick and it pays off! Reshuffle your workforce: When business is low, you may not be able to utilize your workforce to their full potential. Your business will soon look overstaffed. To avoid getting into such a situation, cross train your staff. Cross-training will not only make it easier for you to manage your work in case of non-attendance or retrenchment, but will also make your work force better skilled and prepare them to be eligible for promotions. But lay people off only if absolutely necessary who knows you may need them again pretty soon! Cut your production: It would be foolish to invest more money in acquiring more raw materials for production when you have not cleared up your old stock of finished goods yet. Sort out your inventory: Chuck out obsolete commodities in your inventory will induce imminently. You should realize that though time was such goods might have cost you a fortune, they are at present worthless. You are already running a beating if you are keeping them. You are doing much better if you are selling them for whatever price you are able to get for them. By doing so, you are really making a profit since any price is bigger than rubbish!

DATA OF SEBI Tightening its noose on the companies that failed to resolve investors' complaints, market regulator Sebi has slapped penalties totalling more than Rs 21 lakh since the beginning of the current fiscal. As per the latest information available with the Securities and Exchange Board of India (Sebi), the regulator has imposed a total monetary penalty of Rs 21.35 lakh so far in 2012-13. These penalties have been imposed against seven companies for failure to resolve investor grievances. The number of such companies in the current fiscal so far is higher than a total of five firms against whom penal action was taken by Sebi in the entire previous fiscal, 2011-12, and three in the year before. However, the total penalty imposed in 2011-12 was higher at Rs 53.30 lakh and Rs 43 lakh in 2010-11. The total penalty in 2010-11 had declined by Rs 10 lakh after Securities Appellate Tribunal lowered the penalty on one company, Kaleidoscope Films Ltd (formerly known as Gujarat Investment Castings Ltd) from Rs 17 lakh to Rs seven lakh. Sebi said it imposed these monetary penalties against the companies "through adjudication proceedings for their failure to redress investor grievances". In the current fiscal, the regulator imposed a fine of Rs 10 lakh on Earnest Healthcare this month. Prior to that, Sebi had imposed a fine of Rs five lakh against Gujarat Filaments and and Rs 10,000 on Gujarat Aqua Industries. Earlier this fiscal, Sebi had slapped a penalty of Rs 75,000 on Raj Irrigation Pipes & Fittings, Rs two lakh on Satguru Agro Industries and Jord Engineers India each, and Rs 1.5 lakh on Simco industries. Additionally, Sebi in the first five months of the current fiscal had barred four companies--Shukla Data Technics, Top Telemedia, International Hometex and Alpine Industries and their respective directors from accessing securities market for not resolving investor grievances. The regulator restrained these four companies and their directors "from accessing the securities market and from buying, selling or dealing in securities directly or indirectly, in whatsoever manner, till all the investors' grievances against the company are resolved by them." In August, Sebi had asked all listed companies to register themselves with its online complaint redressal system -- SCORES -- by September 14, after which they would be required to resolve all grievances within 30 days of their receipt. In case, a company is unable to initiate action for redressal of investor grievances within seven days of receipt in SCORES, the regulator could take necessary enforcement actions.