|
Term |
Explanation
|
|
Banker to an issue |
A
scheduled bank carrying on all or any of the issue related
activities namely acceptance of application and application
monies; acceptance of allotment or call monies; refund of
application monies; and payment of dividend or interest
warrants. |
|
Collective investment scheme |
Any scheme or arrangement made or offered by any company
under which the contributions, or payments made by the
investors, are pooled and utilized with a view to receive
profits, income, produce or property, and is managed on
behalf of the investors is a Collective Investment Scheme.
Investors do not have day to day control over the management
and operation of such scheme or arrangement. |
|
Credit rating agency |
Credit rating agency means a body corporate which is engaged
in, or proposes to be engaged in, the business of rating of
securities offered by way of public or rights issue. |
|
Custodian |
An organization, usually a bank or any other approved
institutions, that hold the securities and other assets of
mutual funds and other institutional investors. |
|
Depository |
A
system of organisation, which keeps records of securities,
deposited by its depositors. The records may be physical or
simply electronic records. |
|
Depository Participant |
An agent of the depository through which it interfaces with
the investor. A DP can offer depository services only after
it gets proper registration from SEBI. |
|
Foreign institutional investor |
An institution established or incorporated outside India
which proposes to make investment in India in securities;
provided that a domestic asset management company or
domestic portfolio manager who manages funds raised or
collected or brought from outside India for investment in
India on behalf of a sub-account, shall be deemed to be a
Foreign Institutional Investor. |
|
Merchant banker |
Any person who is engaged in the business of issue
management either by making arrangement regarding selling,
buying or subscribing to securities or acting as manager,
consultant, adviser or rendering corporate advisory service
in relation to such issue management. |
|
Portfolio Manager |
Any person who pursuant to a contract or agreement with a
client ,advises or directs or undertakes on behalf of the
client (whether as discretionary portfolio manager or
otherwise) the management or administration of a portfolio
of securities or the funds of the client as the case may
be. |
|
Registrar to issue |
The person appointed by a body corporate or any person or
group of persons to carry on the activities of collecting
applications from investors in respect of an issue; keeping
a proper record of applications and monies received from
investors or paid to the seller of the securities and
assisting body corporate or person or group of persons in-
determining the basis of allotment of securities in
consultation with the stock exchange; finalising of the list
of persons entitled to allotment of securities; processing
and despatching allotment letters, refund orders or
certificates and other related documents in respect of the
issue. |
|
Share transfer agent |
Any person, who on behalf of any body corporate maintains
the record of holders of securities issued by such body
corporate and deals with all matters connected with the
transfer and redemption of its securities. It can also be a
department or division (by whatever name called) of a body
corporate performing the above activities if, at any time
the total number of the holders of securities issued exceed
one lakh. |
|
Sub-broker |
Any person not being a member of a stock exchange who acts
on behalf of a stock-broker as an agent or otherwise for
assisting the investors in buying, selling or dealing in
securities through such stock-brokers. |
|
Trustee to trust deed |
Legal custodian who looks after all the monies invested in a
unit trust or mutual fund. As per SEBI Debenture Trustee
rules, trust deed is a deed executed by the body corporate
in favour of the trustees named therein for the benefit of
the debenture holders. |
|
Underwriter |
A
financial organization that handles sales of new securities
which a company or municipality wishes to sell in order to
raise money. Typically the underwriters will guarantee
subscription to securities say, an issue of equity from the
company at a stated price, and are under an obligation to
purchase securities upto the amount they have underwritten,
should the public not subscribe for the issue. |
|
Venture capital fund |
A
fund established in the form of a trust or a company
including a body corporate and registered under the SEBI
venture capital fund regulations which - has a dedicated
pool of capital, raised in a manner specified in the
regulations and invests in venture capital undertaking in
accordance with the regulations. |
