Which Indian financial institution protects investors in a stock market?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3 i.e. Securities and Exchange Board of India
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SEBI is the regulatory authority that protects investors in the stock market.
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It regulates and supervises the securities market to ensure fair practices and prevent fraud.
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SEBI works to maintain transparency, investor confidence, and orderly functioning of the market.
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It also frames rules and guidelines for market participants to safeguard investors’ interests.
Explanation of Other Options:
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Bombay Stock Exchange (BSE) is a stock exchange but does not regulate or protect investors.
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Reserve Bank of India (RBI) regulates banking and monetary policy, not stock markets.
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National Stock Exchange (NSE) is another stock exchange, not a regulatory body.
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Hence, SEBI is the institution protecting investors.