The Securities and Exchange Board of India (SEBI) was established in 1988 and given statutory powers through the SEBI Act of 1992. SEBI regulates and develops the securities market in India in order to protect investors. It oversees stock exchanges, registers stockbrokers and regulates corporate activity involving public offerings of securities. SEBI's objectives include promoting investor protection and regulating securities trading.

1. Presentation

3. It was established by The Government of India on 12 April 1988 and given
statutory powers in 1992 with SEBI Act 1992 being passed by the Indian
Parliament. SEBI has its headquarters at the business district of Bandra Kurla
Complex in Mumbai, and has Northern, Eastern, Southern and Western
Regional Offices in New Delhi, Kolkata, Chennai and Ahmedabad respectively. It
has opened local offices at Jaipur and Bangalore and is planning to open offices
at Guwahati, Bhubaneshwar, Patna, Kochi and Chandigarh in Financial Year
2013 - 2014.
Controller of Capital Issues was the regulatory authority before SEBI came into
existence; it derived authority from the Capital Issues (Control) Act, 1947.
Initially SEBI was a non statutory body without any statutory power. However in
1995, the SEBI was given additional statutory power by the Government of
India through an amendment to the Securities and Exchange Board of India Act,
1992. In April 1988 the SEBI was constituted as the regulator of capital markets
in India under a resolution of the Government of India.

4. The securities regulation act of 1956 defined stock exchange as “an
association , organization , or a individual which is established for
for the purpose of assisting , regulating , and controlling business
in buying ,selling and dealing in securities.”

5. Securities & Exchange Board of India
(SEBI) formed under the SEBI Act, 1992 with
the prime objective of
Protecting the interests of investors in securities,
Promoting the development of, and
Regulating, the securities market and for matters connected
therewith or incidental thereto.’
Focus being the greater investor protection,
SEBI has become a vigilant watchdog

6.  It is an organized market
 It is a securities market
 It is an important constituent of capital market i.e., market for long-term
finance
 It is a voluntary association of persons desirous of dealing in securities
 Stock exchange is a voluntary association, its membership is not open to
everybody
 In a stock exchange, only the members can deal in i.e., buy & sell
securities
 The members of a stock exchange can buy and sell securities either as
brokers for & on behalf of their clients
 The dealings in a stock exchange are under certain accepted code of
conduct i.e., rules and regulations

7.  Provide central and convenient meeting places for sellers and buyer of
securities
 Increase the marketability and liquidity of securities
 Contribute to stability of prices of securities
 Equalization of price of securities
 Smoothen price movement
 Help the investors to know the worth of their holdings
 Promote the habit of saving and investment
 Help capital formation
 Help companies and government to raise funds from the investors
 Provide forecasting service

8. Broker and Jobber
BROKER: He is one acts as a intermidiary on behalf of others. A broker
in a stock exchange ,is a commission agent who transacts business in
securities on behalf of non members.
JOBBER: He is not allowed to deal with the public directly .He deals
with brokers who are engaged with the investors . Thus, the securities is
bought by the jobber from members and sells to members who are
operating on the stock exchange as broker.

9. SPECULATION & SPECULATOR
SPECULATION : It is the transaction of members to buy or sell
securities on stock exchange with a view to make profits to
anticipated raise or fall in price of securities.
SPECULATOR : The dealer in stock exchange who indulge in
speculation are called speculator . They do not take delivery of
securities purchased or sold by them , but only pay or rescue the
difference between the purchase price and sale price . The different
types of speculators are
BULL
BEAR

10. He is speculator who expects the future raise in price of securities he buys
the securities to sell them at future date at the higher price.
He is called as bull because his activities resembles as a bull , as the bull
tends to throw its victims up in the air through its horns. In simple the bull
speculator tries to raise the price of securities by placing a big purchase
orders.

11. He is speculator who expects
future fall in prices , he does an
agreement to sell securities at
future date at the present market
rate .
He is called as bear because his
altitude resembles with bear , as
the bear tends to stamp its victims
down to earth through its paws .
In simple the bear speculator
forces of prices of securities to fall
through his activities.

12. • In the World
 London stock exchange
 New york stock exchange
 Shanhai stock exchange
 Australia stock exchange
 Tokyo stock exchange
 Hong kong stock exchange
 Toronto stock exchange
 Deutsche borse
• In India
 National stock exchange
 Bombay stock exchange
 Calcutta stock exchange
 Cochin stock exchange
 Multi commodity
exchange
 Derivatives exchange
 Pune stock exchange
 Interconnects exchange

13. Regulating the business in stock exchange and any other securities markets.
Promoting and regulating self-regulatory organization.
Registering and regulating the work of collective investment scheme, incluing
mutual funds.
Prohibiting fraudulent and unfair trade practices relating to securities market.
Promoting education, and training of intermediaries of securities market

14. Power to approve the bye-laws of stock exchange
Power to inspect the books of accounts
Power to grant license to any person for the purpose of
dealing in certain areas.
Power to delegate powers exercisable by it.
Power to try directly the foliation of certain provision of the
company Act