Daily Current Affairs for UPSC Civil Services Exam – 21 July 2020

Daily Current Affairs for UPSC Civil Services Exam – 21 July 2020

In Today’s News:

  1. SEBI plans to verify margin collections.
  2. NFRA sets up an advisory committee.

1. SEBI plans to verify margin collections

News Summary

Securities & Exchange Board of India (SEBI) released a framework to enable verification of upfront collection of margins from clients (stock buyers) in cash and derivatives segments.

(Note: This news doesn’t have higher significance in Exam. The significance here is SEBI) 

Prelims GS – Economic Development/Governance

SEBI:
  • The Securities and Exchange Board of India was established on April 12, 1992, in accordance with the provisions of the Securities and Exchange Board of India Act, 1992.
  • SEBI is a statutory body.
  • SEBI Act is an Act to provide for the establishment of a Board to protect the interests of investors in securities and to promote the development of, and to regulate, the securities market and for matters connected therewith or incidental thereto.
  • SEBI has the responsibility to regulate Indian Capital markets.

Click here to visit the official website of SEBI.

2. NFRA sets up an advisory committee

News Summary

National Financial Reporting Authority (NFRA) has constituted a Technical Advisory Committee (TAC) under the chairmanship of R. Narayanaswamy, Professor, IIM, Bangalore. TAC will consist of 7 members including the chairman and they will aid and advise the executive body of the NFRA on issues relating to drafts of accounting standards and auditing standards.

Prelims GS – Economic Development/Governance

NFRA:
  • The National Financial Reporting Authority (NFRA) was constituted on 01st October 2018 by the Government of India under sub Section (1) of section 132 of the Companies Act, 2013.
  • National Financial Reporting Authority is an independent regulator to oversee the auditing profession and accounting standards in India
  • It is a Statutory body.
  • NFRA was created to improve confidence in markets about how companies report their financial statements.
  • The duties of the NFRA are to:
    • Recommend accounting and auditing policies and standards to be adopted by companies for approval by the Central Government;
    • Monitor and enforce compliance with accounting standards and auditing standards;
    • Oversee the quality of service of the professions associated with ensuring compliance with such standards and suggest measures for improvement in the quality of service;
    • Perform such other functions and duties as may be necessary or incidental to the aforesaid functions and duties.

Click here to visit the official website of NFRA.

 

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