Institutional investors should guide retail segment: Sebi chairman
Mumbai, Jan 28: Market watchdog Sebi on Wednesday said there is a need for institutional investors to develop a common strategy for proposals that come up for shareholder voting and also guide retail investors to help them make informed choices.
Institutional shareholders should also guide retail investors on the various nuances of a proposal and help shape up their outlooks, he said.
"Institutional investors need to guide retail investors for making informed decision while voting for company resolution," the Sebi chairman said.
He said that he is noticing a surge in cases where shareholders are challenging the decisions of company board. Sinha also lauded the work done by the growing number of proxy advisory firms in the country.
The Sebi chief said the country has made good progress on protection of the interests of minority shareholders and India is ahead of many other countries in this regard.
Sinha also said even though India ranks low in the World Bank's ease of doing business ranking, the same report has ranked the country among the top 10 in the world on minority shareholder protection.
PTI