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SEBI, in partnership with NISM, has introduced a voluntary certification course for investors 'SEBI Investor Certification Examination.'
This exam aims to improve financial literacy and awareness in the country.
In a press release, Ananth Narayan G, Whole Time Member of SEBI highlighted that SEBI's new Investor Certification Examination is a significant step towards enhancing digital financial education in the securities market. This online exam will help enhance investors' understanding of the investment process and the associated risks in the securities market and thus promote an efficient approach to investment aligned with the risk appetite of the investor.
Topics covered
- Understanding the basics of saving, investing, budgeting and the impact of inflation on financial decisions
- Information on various government schemes related to finance and investment
- Learning primary and secondary markets and their functions in investment activities
- Understanding the pivotal roles played by stock exchanges, depositories and regulatory bodies in maintaining market integrity and investor protection
- Educate them about credit, market and liquidity risks inherent in investment activities
- Understand risk management concepts like hedging and diversification
- Recognizing the importance of due diligence, ethical behavior and transparency in investment practices
- Making investors aware of their rights and duties and disclosure standards
- Providing guidance on the process of lodging complaints through SEBI's portal in case of any disputes or grievances
Requirement to obtain this certificate
- Investors must take a 50-mark online certification exam
- The passing grade is 50%, which means they must properly answer 25 questions
- No negative marking and the certification is valid for two years
Free-of-cost certification
SEBI Investor Certification Examination is a free-of-cost online certification. The study material will be provided to investors who register for the investor certification exam.
To learn more about ‘SEBI Investor Certification Examination’, visit https://www.nism.ac.in/sebi-investor-certification-examination/
