All the registered merchant bankers are hereby advised to disclose on their website. Elucidate the investor charter to be published or disclosed by the merchant banker.
CS Executive · Securities Laws and Capital Markets · PYQS · December 2023
All the registered merchant bankers are hereby advised to disclose on their website. Elucidate the investor charter to be published or disclosed by the merchant banker.
Answer & Explanation:
The Investor Charter is a brief, easy-to-understand document developed by SEBI in consultation with Merchant Bankers. Its purpose is to provide investors with clear information about various activities related to primary market issuances and exit options. This charter consolidates different services offered to investors in one place for easy reference. All registered Merchant Bankers are mandated to disclose this Investor Charter on their websites for each of the following categories, as prescribed by SEBI: Initial Public Offer (IPO) and Further Public Offer (FPO) , including Offer for Sale (OFS). Rights Issue . Qualified Institutions Placement (QIP) . Preferential Issue . SME IPO and FPO , including OFS. Buyback of Securities . Delisting of Equity Shares . Substantial Acquisitions of Shares and Takeovers . Additional Disclosure for Transparency: To enhance transparency in the Investor Grievance Redressal Mechanism, Merchant Bankers are also required to disclose on their respective websites, data on complaints received against them or against issues dealt by them, and the redressal thereof. This data must be provided separately for each of the above categories, as well as collectively. This disclosure must be updated latest by the 7th of the succeeding month as per the format prescribed by SEBI. The Investor Charter aims to empower investors by providing them with essential information in a transparent and accessible manner, thereby fostering greater trust and understanding in the capital markets.
Topics: Merchant Bankers
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