Prime Minister Manmohan Singh on Friday urged Securities and Exchange Board of India (SEBI) to work towards rooting out insider trading and said the government was committed to doing the needful to strengthen the market regulator’s enforcement powers.
“SEBI’s future effectiveness will be its ability to root out the hard-to-define but extremely pernicious disease of insider trading,” Singh said while speaking at an event to mark the 25 years of SEBI’s existence.
Singh also said equity market in the country remains “disproportionately focused on large-cap firms”. “Many mid cap and small tier companies are crowded out by their larger counterparts. For our growth story to be truly sustainable, small and medium enterprises would need to become a key segment,” he said.
Finance minister P Chidambaram asked SEBI to protect small investors. “Win confidence of small investors. Its when a small investor says my money is safe in the financial market because I have SEBI watching over my money, that is the day when SEBI would have achieved its objective,” he said.