Debt market too should grow at par with equity market: R K Nair

Mumbai, Jan 12 (UNI) Securities and Exchange Board of India (SEBI) Executive Director R K Nair said debt market should be as vibrant as the equity market.

He was addressing the inaugural session of the day-long seminar on Personal Finance, organised by Investor Education&Welfare Association (IEWA), a SEBI registered investors' association.

Although he expressed satisfaction over the performance of stock market in the country, which had recently crossed the magical figure of 14,000 points, Mr Nair here today cited two reasons for poor performance of debt markets.

He said ''The two reasons are availability of comparatively few products in debt market and lack of awareness among investors about it.'' He said, keeping this in view, SEBI was trying to come up with an institute with an offer of various training modules. ''The idea is to make financial intermediaries more aware of the functioning of the capital market,'' he said.

He cautioned investors by saying ''We shouldn't invest money in the capital market merely based on hearsay or others' advices.

Rather, we should adopt a long-term approach and make investments based on informed decisions.'' Bombay Stock Exchange Ex-President Deena Mehta, who was also present at the seminar said ''If today the stock market was at its boom then it was just because of the good performance of Indian companies and not due to any malpractices going on in the market.'' She rued over the fact that banking and other supporting agencies had not grown to the level achieved by the stock market.

UNI