Role Of SEBI In The Indian Capital Market

Priyanka More, B.A. LL.B. (Hons.), School of Excellence in Law, The Tamilnadu Dr Ambedkar Law University

ABSTRACT

When East India Company securities were first exchanged in the nation in the 18th century, the history of the Indian capital market began. The Indian capital market has come a long way. The capital market nowadays is structured, reasonably integrated, mature, more international, and modernized. With regard to technology and business value-cumulative volume, the Indian equities market is among the best in the world. Our Indian equities stocks had a market capitalization of around Rs. 70,000,000 crores on August 31, 2010. As a regulator, SEBI has recently undergone significant adjustments. These include raising the retail equity investor cap from Rs. 1 lakh to Rs. 2 lakh, reducing the issue-listing period to 12 days, opening pre-market auction sessions, increasing stock exchange trading hours, improving price-discovery mechanisms, introducing ASBA in IPOs, using smart technology in trading, and allowing anchor investors in IPOs, among other things. Furthermore, the necessary framework for regulation, disclosure, monitoring, and trading has been established. Because of this, the SEBI has to stop focusing on minor restrictions and start being more forward-thinking. When the next set of reforms is implemented, the SEBI can guarantee a free and fair market and elevate India to the level of important international capital markets. It has to conduct a complete examination of its structure and operations to make this possible. The costs of regulation and market growth must be balanced by the SEBI. Cross-border collaboration between different regulators and between regulators and industry is necessary.