Question

SEBI has three types of functions including protective functions. _____ functions include regulation and development functions.

• A. Investment
• B. Training
• C. Regulatory
• D. Registration

Hint:

SEBI functions are: \[ \mathrm{Protective,\ Regulatory,\ and\ Developmental} \]

Answer 1

The Correct Option is C

Step 1: Understanding the Concept:
The Securities and Exchange Board of India (SEBI) is the regulatory body for the securities and commodity market in India.
To fulfill its objectives of protecting investors and promoting an orderly market, SEBI performs functions categorized into three main heads: Regulatory, Developmental, and Protective.
Step 2: Detailed Explanation:
The question asks for the broad category that encompasses specific administrative and development-related activities.
1. Protective Functions: These aim to protect the interest of investors by preventing fraudulent trade practices like insider trading and price rigging.
2. Developmental Functions: These focus on promoting the market through training, research, and modernization.
3. Regulatory Functions: These involve framing rules for the conduct of business in stock exchanges.
While the sentence structure in the question is slightly condensed, "Regulatory functions" as a category broadly involves the oversight of the market's structure and its growth (development).
Among the options:
(A) Investment is an activity, not a SEBI function category.
(B) Training is a sub-part of developmental functions.
(D) Registration is a specific task under regulatory functions.
Therefore, "Regulatory" is the most comprehensive answer that fits the sentence's intent regarding categorical classification.
Step 3: Final Answer:
SEBI performs three categories of functions: Protective, Regulatory, and Developmental.
Since the blank refers to a category, "Regulatory" (C) is the appropriate choice.