[amp_mcq option1=”investor Protection” option2=”ensuring Fair practices by companies” option3=”promotion of efficient services by brokers” option4=”improving the earnings of equity holders” correct=”option4″]
The correct answer is D. improving the earnings of equity holders.
The Securities and Exchange Board of India (SEBI) is the regulator of the Indian securities market. It was established in 1992 with the objective of protecting the interests of investors, promoting the development of, and regulating the securities market, and regulating intermediaries that operate in the securities market.
SEBI’s functions include:
- Investor protection: SEBI is responsible for protecting the interests of investors in the securities market. It does this by ensuring that companies comply with the rules and regulations of the securities market, and by providing investors with information about the securities market.
- Ensuring fair practices by companies: SEBI is responsible for ensuring that companies comply with the rules and regulations of the securities market, and that they do not engage in unfair practices such as insider trading and market manipulation.
- Promotion of efficient services by brokers: SEBI is responsible for promoting efficient services by brokers in the securities market. It does this by regulating the activities of brokers, and by ensuring that they provide investors with fair and transparent services.
SEBI is not responsible for improving the earnings of equity holders. This is because SEBI is a regulator, and its role is to protect the interests of investors and to ensure that the securities market is fair and transparent. It is not the role of SEBI to promote the interests of any particular group of investors, such as equity holders.