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The objective of SEBI is to protect interest of the companies.

The objective of SEBI is to protect interest of the companies.

Ans. False.

Reasons:       The main objectives of SEBI are as under.

1.      To promote fair dealing by the issue of securities and to ensure a market place where (they) companies or institutions can raise funds at relatively low cost.

2.      To provide protection to the investors and protect their rights and interests so that there is a steady flow of savings into the market.

3.      To regulate and develop a code of conduct and fair practices by intermediaries like brokers etc. with a view to make them competitive and professional.

4. It aims at protection to investors and safeguard the rights and interest of small to big investors alike.

5. It aims to provide a code of conduct of all the players in the market like brokers and provide the best of professional and competitive atmosphere in the Indian Capital market.

6. SEBI therefore is more pro – investor than pro – company.