Securities Laws

Paper Code: 
24BCS411
Credits: 
03
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

This course will enable the students to understand conceptual and working knowledge of securities laws governing the entities listed on the stock exchanges.

 

Course Outcomes: 

Course

Learning outcome

(at course level)

Learning and teaching strategies

Assessment Strategies

Course Code

Course

title

 

24BCS411

Securities Laws (Theory)

CO 1:Explain the process of issuing securities in the Indian stock market with deep down study of primary and secondary market.

CO 2:Interpret listing obligations of convertible and nonconvertible securities including the disclosure requirement regulations 2015.

CO 3:Develop an understanding regarding acquisition of securities and prohibition of insider trading.

CO 4:Discuss about the practices of delisting and buy back of securities.

CO 5:Infer the concept of mutual funds, collective schemes.

CO 6:Contribute effectively in course – specific interaction.

Approach in

teaching: Interactive Lectures, Discussions, Tutorials, Problem solving sessions, Presentations

 

 

Learning activities for the students: Self-learning assignments, Case Study Analysis, Presentations, Group Discussions

 

Continuous Assessment Test, Semester End Examinations, Quiz, Assignments, Class Presentations, Individual and group projects.
 

 

9.00
Unit I: 
Issue of Securities - Concepts
  •      Types of Issues, Initial Public Offer, Further Public Offering,
  •      Rights Issue, Preferential Issue, Qualified Institutions Placement,
  •       Initial Public Offer of Indian Depository Receipts,
  •       Rights Issue of Indian Depository Receipts,
  •       Initial Public Offer by Small and Medium Enterprises, Bonus Issue,
  • Share Based Employee Benefits and Sweat Equity
9.00
Unit II: 
Non Convertible Securities, Compliances and Disclosure in Listing

Issue and Listing of Non-Convertible Securities:

  • Debt Securities and Non-Convertible Redeemable Preference Shares,
  • Perpetual Debt Instruments, Commercial Paper - Issuance and Listing.

Listing Obligations and Disclosure Requirements:

  • Compliances under SEBI (LODR) Regulations, 2015,
  • Key Provisions pertaining to Corporate Governance, Prior Intimations,
  • Disclosure of Events or Information, Meeting of shareholders and voting, Policies,
  • Compliance under SEBI (LODR) Regulations, 2015 which has listed its Non-Convertible securities,
  • Liability of a Listed Entity for Contravention,
  • Case Laws and Case Studies.

 

9.00
Unit III: 
Share Acquisition, Takeovers and Insider Trading Regulations

Acquisition of Shares and Takeovers - Concepts:

  • Regulatory Framework,
  • Trigger point for making an open offer by an acquirer, Disclosures,
  • Exemptions, Case Laws and Case Studies.

Prohibition of Insider Trading:

  • Basic Concepts, Unpublished price sensitive information (UPSI),
  • Trading Plans, Disclosures,
  • Informant Incentives and Rewards, Codes of fair disclosure and conduct,
  • Penalties and Appeals,
  • Case Laws and Case Studies.

 

9.00
Unit IV: 
Combatting fraud and unfair practices, delisting and buy back dynamics

Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market:

  •  Prohibition of certain dealings in securities,
  • Prohibition of manipulative, fraudulent and unfair trade practices, Investigation,
  • Case Laws and Case Studies.

Delisting and Buyback of Securities - Concepts:

  • Delisting of Equity Shares, Voluntary Delisting, Exit Opportunity,
  • Compulsory Delisting, Conditions of buy-back, Buy back Methods, Tender Offer,
  • Open Market (Book building and Stock Exchange), General obligations, Penalties,
  • Case Laws and Case Studies.

 

9.00
Unit V: 
Overview of Mutual Funds and Collective Investment Schemes

Mutual Funds:

  • Regulatory Framework,
  • Types of Mutual Funds and Schemes, Key players in Mutual Funds - Sponsor,
  • Asset Management Company, Trustee,
  • Unit holder, evaluating performance of Mutual funds,
  • Net Asset Value, Expense Ratio, Holding Period Return.

Collective Investment Schemes:

  • Regulatory Framework,
  • Restrictions on Business Activities,
  • Submission of Information and Documents,
  • Trustees and their Obligations, Case Laws and Case Studies.

 

Essential Readings: 

Essential Readings:

  1. Study Material Published by ICSI

 

References: 

Suggested Readings:

E- Content:

  1. https://www.icsi.edu/student-n/new-syllabus-2022/studymaterial2023/executive-program/
  2. https://www.icsi.edu/e-journals/

 

Academic Year: 
2024-2025
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