Capital Market and SEBI: A Genuine Guide and Guardian

Abstract

Capital markets are that financial market where savings and investments are done between capital suppliers and those who need capital. Those who have capital include retail and institutional investors while those who seek capital can be any business organization, government, and needy people. In a capital market long-term debt (over a year) or equity-backed securities are bought and sold. In short, we can say that capital market is bridge which link investors and savers and it is that financial market where buyers, sellers came to buy and sell several types of stocks and bonds. Capital markets channelize the wealth of savers to such governmental organizations, big companies who can put their money for a long time known as long-term investments. Nature of capital markets are mainly two types: a) Primary market and b) Secondary market. Modern capital markets are mainly computer based electronic trading sites which are not limited to forum or platforms. Securities and Exchange Board of India, also known as SEBI, oversees all those matters related to the capital market areas. In this research, I have tried to explain how SEBI acted as a genuine guide to guide and guard the interest of savers and investors in capital market issues.