Assertion: Spreading of equity cult is an important function of SEBI.
Reasoning: The stock exchange can play a vital role in ensuring wider share ownership by regulating new issues, better trading practices and taking effective steps in educating the public about investments..
Answer & explanation
Correct answer: option 4
The correct answer is Option 4: Assertion (A) is not true but Reasoning (R) is correct.
Assertion: Spreading of equity cult is an important function of SEBI. This is false. Spreading of equity cult is an important function of stock exchanges and NOT SEBI. The stock exchange can play a vital role in ensuring wider share ownership by regulating new issues, better trading practices and taking effective steps in educating the public about investments.
Reasoning: The stock exchange can play a vital role in ensuring wider share ownership by regulating new issues, better trading practices and taking effective steps in educating the public about investments.This is true.