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In the haste of becoming successful investors and traders, many people often overlook the rules and regulations that guide the stock market in India. It is of utmost importance that you know about the financial regulators in India that are responsible for monitoring the stock market.<br><br>
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Regulatory Bodies in the Indian Stock Regulatory Bodies in the Indian Stock Market Market In the haste of becoming successful investors and traders, many people often overlook the rules and regulations that guide the stock market in India. It is of utmost importance that you know about the financial regulators in India that are responsible for monitoring the stock market. Additionally, you must be aware of the guidelines and norms that govern the Indian markets. After all, your financial decisions and investment strategies are heavily influenced by the policies designed by these financial regulators to keep the market and investor activity in check. Enforcement of proper rules and regulations by the concerned authorities help the financial markets function seamlessly. The Ministry of Finance, the Reserve Bank of India (RBI), and the Securities and Exchange Board of India (SEBI) are the three primary financial regulators in India. Let us understand their roles in detail. The Ministry of Finance (MoF) The Ministry of Finance (MoF) Following the directions issued by the Ministry of Finance, the Department of Economic Affairs manages the segment adhered to the Capital Markets directly. This segment focuses upon the efficient growth of the Indian Stock Market, including debt, derivatives, and equity.
Equity happens to be one of the best investment vehicles ever known to humankind. However, there are some important things you must know about before you venture into equity investments. Read all you need to know about Equity Investments The Ministry formulates rules and regulations required for the functioning of the capital markets. It also develops laws necessary for safeguarding the interests of the investors in the stock market. The following laws help the Ministry monitor the Indian Stock Market: Securities Contract (Regulation) Act, 1956 Depositories Act, 1996 Securities and Exchange Board of India Act, 1992 Moving on, let us understand the role and the functioning of SEBI. Read More about regulatory bodies in regulatory bodies in India India