Question 1.Explain the provisions of the Companies Act, 2013 for the issue of shares to employees under a scheme of employees stock option.Answer:Employee Stock Option [Section 2(37)]: Employee stock option means the option given to the whole-time directors, officers, or employees of a company, which gives such directors, officers, or employees the benefit or right […]

Question 1.To whom sweat equity shares may be issued the SEBI (Issue of Sweat Equity) Regulations, 2002?Answer:Sweat equity shares may be issued to employees & promoter [Regulation 4]: A company whose equity shares are listed on a recognized stock exchange may issue sweat equity shares in accordance with Section 54 of Companies Act, 2013 and

Question 1.Explain the disclosure requirements by certain persons under the SEBI (Prohibition of Insider Trading) Regulations, 2015. [June 2009 (4 Marks)]Answer:Disclosures by certain persons [Regulation 7]:Initial Disclosures:(a) Every promoter, member of the promoter group, KMP, and director of the listed company shall disclose his holding of securities to the company within 30 days of these

Question 1.Distinguish between: Front End Load & Back End Load“ [Dec. 2005 (2 Marks)]Answer:Following are the main points of difference between Front End Load & Back End Load: Points Front End Load Back End Load Meaning Front End Load means ‘entry load’ which is paid by investors while investing in mutual funds. Back End Load

Question 1.Write a short note on Collective Investment Scheme [June 2011 (5 Marks)]Answer:A Collective Investment Scheme (CIS) is an investment scheme wherein several individuals come together to pool their money for investing in a particular asset(s) and for sharing the returns arising from that investment as per the agreement reached between them prior to pooling

Question 1.What are the rights and responsibilities of the members of a company as per the SEBI’s Investors Education Guide? [June 2007 (4 Marks)]Answer:Rights of investor as a shareholder: Group rights of investors as a shareholder: Rights of debenture holder: Responsibilities of an investor as a security holder: Question 2.What are the common grievances of

Question 1.Distinguish between: Money Market & Securities Market [June 2006 (2 Marks), Dec 2006 (2 Marks)]Answer:Following are the main points of distinction between money market & securities market: Points Money Market Securities Market Meaning The money market refers to the market where borrowers and lenders exchange short-term funds to solve their liquidity needs. It is