SaaRthi Mobile App | 20 Jan 2022

Recently, Securities and Exchange Board of India (SEBI) has launched Saa₹thi – a mobile app on investor education.

About:
- It aims to create awareness among investors about the basic concepts of the securities market.
- The app will also explain about KYC process, trading and settlement, Mutual Funds (MF), recent market developments, investor grievances redressal mechanism, etc.
Need:
- A recent surge is seen in individual investors entering the market, and more importantly a large proportion of trading being mobile phone based.
- According to NSE (National Stock Exchange) data, the share of Individual investors increased to 45% in 2021 from 39% in 2020.
  - The NSE is India's largest financial market.
Securities Market:
- Securities are financial instruments issued to raise funds.
- The primary function of the securities markets is to enable the flow of capital from those that have it to those that need it.
- Securities markets provide channels for allocation of savings to investments and thereby decouple these two activities.
  - As a result, the savers and investors are not constrained by their individual abilities, but by the economy’s abilities to invest and save respectively, which inevitably enhances savings and investment in the economy.
- Eg. Equity, Debt securities, etc.

Securities and Exchange Board of India (SEBI)

SEBI is a statutory body established on 12^th April 1992 in accordance with the provisions of the Securities and Exchange Board of India Act, 1992.
Its basic function is to protect the interests of investors in securities and to promote and regulate the securities market.
SEBI Board consists of a Chairman and several other whole time and part time members.
SEBI also appoints various committees, whenever required to look into the pressing issues of that time.