What is the role of merchant banker in corporate enterprise?
Merchant bankers buy and sell shares in the stock exchange on behalf of the clients. They additionally conduct researches on equity shares, advise the clients on the share to be purchased, the time of purchase, quantity of such purchase and the time for selling these shares.
What is corporate Counselling in Merchant Banking?
Corporate counseling denotes the advice provided by the Merchant Banking to the corporate unit to ensure better corporate performance in terms of image building among investors, steady growth through good working and appreciation in market value of its equity shares.
Is Merchant Banking the same as corporate banking?
Commercial Banking refers to the form of the banking service where commercial banks offer various types of monetary services to anyone who wants to avail its services including the general public as well as the corporations whereas Merchant Banking refers to the form of the banking service where the merchant banks …
What are the Sebi guidelines?
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| Date | Title |
|---|---|
| Aug 04, 2008 | SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999 -(Amended up to August 04, 2008) |
| Jan 18, 2006 | Guidelines for Anti-money laundering measures |
| Jan 21, 2004 | Amendment to the SEBI (Informal Guidance ) Scheme 2003 |
| Jun 24, 2003 | SEBI (Informal Guidance) Scheme 2003 |
What is Merchant Banking explain the various functions of merchant banking?
Merchant Banking helps its clients to raise finance through issue of shares, debentures, bank loans, etc. It helps its clients to raise finance from the domestic and international market. This finance is used for starting a new business or project or for modernization or expansion of the business.
What are the growth of merchant banking?
With the advent of the industrial boom in India, there has been a growing need of Merchant Bankers. Businesses often require specialised banking services which are concentrated in nature. Hence, commercial bankers set up their merchant banking subsidiaries to cater financial services for the corporate sector.
What are merchant banking activities?
Fundamentally, merchant banker are financial institutions. The main activities of merchant banker are like business loans as well as underwriting. They largely offer their services to large enterprises and individuals of high net worth.
How merchant bank is different from general banks?
A commercial bank is involved with regular banking services such as cash deposits and credit advances. A merchant bank, on the other hand, offers consultancy and advisory to its clientele, most of which happen to be high net worth individuals and multinational corporations.
What is difference between retail and corporate banking?
Retail Banking is a banking service provided to the general public or individual. Corporate banking is a commercial banking facility which only deals with small or large companies and corporate bodies. Customers are the focus of retail banking products. Corporate banking services are focused on the needs of businesses.
What is the role of SEBI in corporate management?
The main duty of SEBI is to regulate the Indian Capital markets. It monitors and regulates the stock market and protects the interests of the investors by enforcing certain rules and regulations.
Do you need SEBI to be a merchant banker?
A merchant banker will require authorization by SEBI to carry out the business. SEBI has classified the merchant bankers into four categories based on the nature and range of the activities and the responsibilities.
What are the guidelines for merchant banking in India?
GUIDELINES FOR MERCHANT BANKING 1. The merchant banking activity in India is governed by SEBI (merchant bankers) regulations, 1992. Registration with SEBI is mandatory to carry out the business of merchant banking in India. An applicant should comply with the following norms: I) the applicant should be a corporate body.
Is there a code of Conduct for merchant bankers?
A code of conduct for merchant bankers will be given by SEBI, which has to be followed by them. 9. Any violation by the merchant banker will lead to the revocation of authorization by SEBI.
How are merchant bankers prohibited from buying securities?
Merchant bankers are prohibited from buying securities based on the unpublished price sensitive information of their clients 5. SEBI has been vested with the power to suspend or cancel the authorization in case of violation of the guidelines 6. Every merchant banker shall appoint a ‘Compliance Officer’ to monitor compliance of the Act 7.