EFFECTIVENESS OF SEBI IN PROTECTING THE INVESTORS-A STUDY OF INVESTORS IN CHENNAI CITY

Mrs.R.RUBY; Dr.C.VETHIRAJAN

Volume : VI, Issue : V, May - 2017

EFFECTIVENESS OF SEBI IN PROTECTING THE INVESTORS-A STUDY OF INVESTORS IN CHENNAI CITY

Mrs. R. Ruby, Dr. C. Vethirajan

Abstract :

The study has made an attempt to the effectiveness of SEBI in protecting the investors. The Primary function of Securities and Exchange Board of India. (SEBI) Act, 1992 is the protection of the investors� interest and the healthy development of Indian capital markets. No doubt, it is very difficult and herculean task for the regulators to prevent the scams in the markets considering the great difficulty in regulating and monitoring each and every segment of the capital markets and the same is true for the Indian regulator also. But what are the responsibilities of the regulators to set the system right once the scam has taken place, especially the responsibility of redressing the grievances of the investors. So, that their confidence is restored. The redressal of investors� grievances, after the scam, is the most challenging task before the regulators all over the world and the Indian regulator is not an exception. Measures taken by SEBI authorities provide adequate protection for investors (Mean = 3.76). Effectiveness of present redressal system relating to share trading, government employees and professionals with neutral opinion differ significantly from other occupational groups who have expressed their agreement (F value = 2.80, p < 0.05). SEBI authorities� receptive to retail investors� complaints (F value = 3.58, p < 0.05) among respondent groups with difference number of earning members in families.