What is SEBI?
Securities and Exchange Board of India or the SEBI, which started in 1992 under the Ministry of Finance, is a strong guard for India’s stock market. It’s based in Mumbai and aims to make sure the market is fair and safe for investors. SEBI oversees the activities of Indian securities market and regulates it’s functions with a legislative authority to create accountability. Though the main objective of SEBI is to protect the interests of the investors, it envisions to develop the market of securities in our country. The present chairperson of SEBI is Madhabi Puri Buch, who assumed office in 2022 and is active till date.
What is the Organizational Structure of SEBI?
At SEBI, the organizational structure involves the Board Members and the Chairman. There are 5 members on the Board and 24 departments that handle different tasks related to surveillance and regulation to watch over the country’s financial market.
Departments in SEBI and it’s Functions.
The Indian financial market is being supervised and regulated by the following main departments of SEBI. These departments work under the jurisdiction of the Ministry of Finance. The list is as given under:
- Commodity Derivatives Market Regulation Department (CDMRD)
This department functions with the assistance of the following divisions, to carryout the supervision of the Commodity Derivative Markets.
1. Division of Exchange Administration.
2. Division of Complaints
3. Division of Investor Awareness -1
4. Division of Investor Awareness -2
5. Division of Market Policy
6. Division of New Products
7. Division of Risk Management
8. Division of Products
9. Division of Inspection
- Corporation Finance Department (CFD)
This department involves the work regarding listing/delisting and issuing of securities, and other related schemes. The divisions responsible are:
1. Division of Issues and Listing,
2. Division of Corporate Restructuring, and
3. Division of Compliance and Monitoring
- Department of Economic and Policy Analysis (DEPA)
This department deals with the regulatory research and development, statistical analysis and publication.
- Department of Debt and Hybrid Securities (DDHS)
This department deals with corporate bonds, debt securities and shares.
- Enforcement Department – 1 (EFD1)
This department handles appeals made against SEBI in the Securities Appellate Tribunal (SAT). It functions under the Division of Regulatory Action.
- Enforcement Department – 2 (EFD2)
This department also functions with legislative authority to handle matters registered with SAT, but functions under the divisions-
1. SAT Litigation Division
2. Prosecution Division
3. Settlement Division
- Enquiries and Adjudication Department (EAD)
This department deals with legal matters and makes decisions about cases reported against rule breakers under SEBI’s authority.
- General Services Department (GSD)
This department functions with the following divisions for smooth internal working of the organization.
1. Treasury and Accounts Division
2. Facilities Management Division
3. Official Language Division
4. Office of the Secretary to the Board
5. Protocol and Security Division
- Human Resources Department (HRD)
This department handles the recruitment processes of the organization and issues related to employee management.
- Information Technology Department (ITD)
This department ensures smooth technological operations in the organization.
- Integrated Surveillance Department (ISD)
This department is for monitoring all the major areas of the nation’s financial and securities market.
- Investigations Department (IVD)
This department investigates for possible rule-breaking in the stock market. They also give information to the Enforcement Department to take necessary legal actions.
- Investment Management Department (IMD)
This one deals with the proper management steps required to secure financial investments in the securities market.
- Legal Affairs Department (LAD)
This department provides legal consultations to the organization with the following divisions:
1. Divisions of Policy- General
2. Division of Policy and Regulatory Affairs for Commodity Derivatives.
3. Division of Regulatory Assistance – General
4. Division of Regulatory Assistance for Commodity Derivatives
- Market Intermediaries Regulation and Supervision Department (MIRSD)
This department is for supervision of market mediators, to oversee and control their operations from registration to inspections.
- Market Regulation Department (MRD)
This department manages the infrastructure of the stock markets with the following divisions:
1. Division of Policy (DoP)
2. Division of SRO Administration (DSA)
3. Division of Risk Management and New Products (DRMNP)
4. Division of Market supervision (DMS)
5. Investor Complaints Cell (ICC)
- Office of International Affairs (OIA)
The Office of International Affairs helps regulate the Indian stock market by working with foreign groups. They also protect investors by talking to foreign regulators and organizations.
- Office of Investor Assistance and Education (OIAE)
As the name implies, this department involve in investor education activities and guide investors in the right direction.
- Office of the chairman (OCH)
This office is led by the chairperson to run the organization efficiently.
- Regional offices (ROs)
These work along the statutes of the organization and regional heads report to head office.
Now you know what are the departments in SEBI, which function in close association to achieve the common goal. SEBI Grade A exam is a national level test to recruit eligible and dynamic candidates at Assistant Manager level, to these departments in various streams like Generalist, Legal, IT, Research, Rajbhasha and others. If you are one who aspires to build a competent career in the regulatory bodies or think you can have a strong foothold in the financial and banking landscape in our nation, then SEBI Grade A exam is the one for you. ixamBee is with you to assist you at each step you take towards success. ixamBee offers SEBI Grade A Online Course and subject-specific online courses for all main streams, SEBI Grade A free mock tests, and SEBI Previous year papers to guide you on the right preparation strategy, covering the entire SEBI Grade A syllabus.
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