The apex body that regulates our capital market is ______.

The correct answer is SEBI.

Key Points

• Securities and Exchange Board of India (SEBI) is the apex body that regulates the capital markets in India.
• SEBI was established on 12 April 1988 and given statutory powers on 30 January 1992 through the SEBI Act, 1992.
• The primary objective of SEBI is to protect the interests of investors in securities and to promote and regulate the securities market.
• SEBI is responsible for ensuring the development and regulation of the securities market, preventing malpractices, and ensuring the fair functioning of the markets.
• SEBI's headquarters is located in Mumbai, Maharashtra, with regional offices in New Delhi, Kolkata, Chennai, and Ahmedabad.

Additional Information

• Primary Market
  • The primary market is where new securities are issued and sold to investors for the first time.
  • It is also known as the new issues market.
  • Companies raise capital in the primary market by issuing new shares or debentures.
• Secondary Market
  • The secondary market is where existing securities are traded among investors.
  • It is also known as the stock market or the stock exchange.
  • Investors buy and sell securities they already own on the secondary market.
• Insider Trading
  • Insider trading refers to the buying or selling of securities by someone who has access to non-public, material information about the security.
  • It is illegal as it can give the insider an unfair advantage over other investors.
  • SEBI has stringent regulations to prevent insider trading and protect the integrity of the markets.
• Initial Public Offering (IPO)
  • An IPO is the process by which a private company can go public by selling its shares to the general public for the first time.
  • IPOs are often issued by smaller, younger companies seeking capital to expand, but they can also be done by large privately-owned companies looking to become publicly traded.