MUMBAI, April 7: Sebi should take into consideration certain thrust areas while educating and informing an investor. This was some of the views expressed by the members of the committee on investor education set up by Sebi. The panel was constituted to look into the various aspects of investor problems and how the market regulator can educate the investors on these various issues.The panel which met on Tuesday for the first time has chalked out the thrust areas like trading mechanics, settlement systems, good bad delivery norms, investor protection fund, rights and obligations, dematerialisation, complaint redressal and risk factors.
Some of the other recommendations include that the regulatory body should prepare a standard material for the investor education programme. The panel has suggested that the market watchdog rope in the assistance of the corporates to spread such investor awareness programme. This can be done by either preparing a booklet or it can be circulated to the shareholders of thecompany through the balance sheet of the corporate. Sebi would be targeting the already existing investors, through balance sheet and also the new targetted investors, through prospectus. The committee members have also suggested using the media as a route to spread the investor awareness programme. They have put forth certain ideas like continuous advertisements through the media.
Corporates and investor education societies can contribute to Sebi's efforts by sponsoring such media publicity. This was one of the suggestions given by the panel to counter the funding of such programmes.
The committee consists of a lot of representatives from the media which can play the most important part in implementing this programme. The panel includes representatives from All India Radio, Media Relation Commission, Doordarshan and representatives from investor education associations from Tamil Nadu and Gujarat.
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