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What requirement is placed on insiders regarding trading in securities as per SEBI regulations?
  • a)
    Insiders are prohibited from trading in securities.
  • b)
    Insiders are allowed to trade freely without any restrictions.
  • c)
    Insiders can trade in securities as long as they disclose their trades publicly.
  • d)
    Insiders must not trade in securities when in possession of unpublished price-sensitive information.
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
What requirement is placed on insiders regarding trading in securities...
Insiders are required to adhere to specific restrictions when trading in securities. According to SEBI regulations, insiders must not trade in securities when they are in possession of unpublished price-sensitive information. This regulation aims to prevent the misuse of such information for personal gains in stock trading.
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What requirement is placed on insiders regarding trading in securities...
Insiders are required to follow specific regulations when trading in securities to ensure fair and transparent markets. The SEBI regulations impose the following requirement on insiders:

Prohibition on trading with unpublished price-sensitive information:
Insiders must not trade in securities when in possession of unpublished price-sensitive information. This information could potentially impact the price of the securities once made public, giving insiders an unfair advantage over other market participants. Trading based on such information is considered insider trading and is illegal.

In order to prevent market manipulation and maintain market integrity, SEBI mandates that insiders refrain from trading when in possession of unpublished price-sensitive information. This requirement helps protect the interests of investors and ensures a level playing field in the securities market.

In conclusion, insiders are prohibited from trading in securities when they possess unpublished price-sensitive information in accordance with SEBI regulations. It is essential for insiders to comply with these regulations to uphold the integrity of the financial markets.
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What requirement is placed on insiders regarding trading in securities as per SEBI regulations?a)Insiders are prohibited from trading in securities.b)Insiders are allowed to trade freely without any restrictions.c)Insiders can trade in securities as long as they disclose their trades publicly.d)Insiders must not trade in securities when in possession of unpublished price-sensitive information.Correct answer is option 'D'. Can you explain this answer?
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What requirement is placed on insiders regarding trading in securities as per SEBI regulations?a)Insiders are prohibited from trading in securities.b)Insiders are allowed to trade freely without any restrictions.c)Insiders can trade in securities as long as they disclose their trades publicly.d)Insiders must not trade in securities when in possession of unpublished price-sensitive information.Correct answer is option 'D'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about What requirement is placed on insiders regarding trading in securities as per SEBI regulations?a)Insiders are prohibited from trading in securities.b)Insiders are allowed to trade freely without any restrictions.c)Insiders can trade in securities as long as they disclose their trades publicly.d)Insiders must not trade in securities when in possession of unpublished price-sensitive information.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What requirement is placed on insiders regarding trading in securities as per SEBI regulations?a)Insiders are prohibited from trading in securities.b)Insiders are allowed to trade freely without any restrictions.c)Insiders can trade in securities as long as they disclose their trades publicly.d)Insiders must not trade in securities when in possession of unpublished price-sensitive information.Correct answer is option 'D'. Can you explain this answer?.
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