The various powers of SEBI are as follows:
(i) Powers Relating to Stock Exchanges & Intermediaries:
SEBI has wide powers regarding the stock exchanges and intermediaries dealing in securities.It can ask information from the stock exchanges and intermediaries regarding their business transactions for inspection or scrutiny and other purpose.
(ii) Power to Impose Monetary Penalties:
SEBI has been empowered to impose monetary penalties on capital market intermediaries and other participants for a range of violations.
(iii) Power to Initiate Actions in Functions Assigned
SEBI has a power to initiate actions in regard to functions assigned. For example, it can issue guidelines to different intermediaries or can introduce specific rules for the protection of interests of investors.
(iv) Power to Regulate Insider-Trading:
SEBI has power to regulate insider trading or can regulate the functions of merchant bankers.
(v) Powers Under Securities Contracts Act:
 For effective regulation of stock exchange, the Ministry of Finance issued a Notification on 13 September, 1994 delegating several of its powers under the Securities Contracts Act to SEBI.
(vi) Power to Regulate Business of Stock Exchanges:
SEBI is also empowered to regulate the business of stock exchanges, intermediaries associated with the securities market as well as mutual funds, fraudulent and unfair trade practices relating to securities and regulation of acquisition of shares and takeovers of companies.

The various features of stock exchanges are as follows:
(i) Market for securities :
Stock exchange is a market, where securities of corporate bodies, government and semi-government bodies are bought and sold.
(ii) Deals in second hand securities :
(a) It deals with shares, debentures, bonds and such securities already issued by the companies.
(b) In short, it deals with existing or second hand securities and hence it is called secondary market.
(iii) Association of persons :
A stock exchange is an association of persons or body of individuals which may be registered or Unregistered.
(iv) Recognition from central Government :
Stock exchange is an organised market. It requires recognition from the Central Government.
(v) Working as per Rules :
(a) Buying and selling transactions in securities at the stock exchange are governed by the rules and regulations of stock exchange as well as SEBI Guidelines.
(b) No deviation from the rules and guidelines is allowed in any case.

The characteristics of government securities are discussed below:
(i) Agencies :
Government securities are issued by agencies such as Central Government,State Governments, semi-government authorities like local Government authorities,example municipalities,autonomous institution such as metroplitian,port trusts etc.
(ii) RBI Special Role:
RBI takes a special and an active role in the purchase and sale of these securities as part of its monetary management exercise.
(iii) Nature of Securities:
Securities offer a safe avenue of investment through guaranteed payment of interest and repayment of principal by the Government.
(iv) Liquidity Profile:
The liquidity profile of gilt-edged securities varies.Accordingly liquidity piofite of securities issued by Central Government is high.
(v) Tax Rebate:
A striking feature of these securities is that they offer wide-range of tax incentives to investors.This has made these securities very popular for this benefit.
(vi) Market:
As each sale and purchase has to be negotiated separately, the Gilt-Edged Market is an Over-the-Counter Market.The government securities market in India has two segments namely primary market and secondary market.

(i) Short-term Funds:
It is a market purely for short-term funds or financial assets called near money.
(ii) Maturity Period:
It deals with financial assets having a maturity period upto one year only.
(iii) Conversion of Cash :
It deals with only those assets which can be converted into cash readily without loss and with minimum transaction cost.
(iv) No Formal Place:
Generally, transactions take place through phone i.e., oral communication.Relevant documents and written communications can be exchanged subsequently.
(v) Sub-markets :
It is not a single homogeneous market. It comprises of several sub-markets each specialising in a particular type of financing. 
(vi) Role of Market :
The components of a money market are the Central Banks, Commercial Banks, Non-Banking Financial Companies,Discount Houses and Acceptance House.Commercial banks generally plays a dominant role in this market.
 

Following are the nature/characteristic of a capital market.
(i) Securities Market
The dealings in a capital market are done through the securities like shares, debentures, etc.The capital market is thus called securities market.
(ii) Price
The price of the securities is determined based on the demand and supply prevailing in the capital market for securities.
(iii) Participants
There are many players in the capital market.The participants of the capital market include individuals, corporate sectors, Govt., banks and other financial institutions.
(iv) Location
Capital market is not confined to certain specific locations, although it is true that parts of the market are concentrated in certain well-known centers known as Stock Exchanges. It has its impact in the overall economy, wherever suppliers and users of capital get together and do business.
(v) Market for Financial Assets
Capital market provides a transaction platform for long term financial assets.

Financial markets can be classified in different ways. They are as follows
(i) On the Basis of Type of Financial Claim:
(a) Debt Market : Debt market is the financial market for trading in Debt Instrument (i.e. Government Bonds or Securities, corporate Debentures or Bonds).
(b) Equity Market: Equity market is the financial market for trading in Equity Shares of Companies.
(ii) On the Basis of Maturity of Financial Claim:
(a) Money Market: Money market is the market for short term financial claim (usually one year or less) Example: Treasury Bills, Commercial Paper, Certificates of Deposit
(b) Capital Market: Capital market is the market for long term financial claim more than a year Example: Shares and Debentures
(iii) On the Basis of Time of Issue of Financial Claim:
(a) Primary Market: Primary market is a term used to include all the institutions that are involved in the sale of securities for the first time by the issuers (companies). Here the money from investors goes directly to the issuers.
(b) Secondary Market: Secondary market is the market for securities that are already issued. Stock Exchange is an important institution in the secondary market.
(iv) On the Basis of Timing of Delivery of Financial Claim
(a) Cash/Spot Market : Cash or Sport market is a market where the delivery of the financial instrument and payment of cash occurs immediately. i.e. settlement is completed immediately.
(b) Forward or Futures Market: Forward or futures market is a market where the delivery of asset and payment of cash takes place at a pre-determined time in future.

(i) The main disadvantage of MBE is, only managers have the power over really important decisions, which can be demotivating for employees at a lower level
(ii) Furthermore, it takes time to pass the issues to managers.
(iii) Managing employees who deviate from the normal procedures.
(iv) Because of compliance failures are considered difficult to manage and typically find themselves with limited job duties and ultimately dismissed / terminated.

Functions of management can be classified into two categories.
A. Main functions; and
B. Subsidiary functions.
A. Main functions:
(i) Planning:
(a) Planning is the primary function of management.
(b) Nothing can be performed without planning.
(c) E.g. Writing a book starts with planning.
(ii) Organising:
(a) Organising is the process of establishing harmonious relationship among the members of an organisation.
(b) Organsing function work is assigned to employees who are given authority to carry out the work assigned and made accountable for it.
(iii) Staffing:
(a) Staffing function comprises the activities of selection and placement of competent personnel.
(b) Staffing refers to placement of right persons in the right jobs.
(iv) Directing:
(a) Directing denotes motivating, leading, guiding and communicating with subordinates.
(b) Employees are kept informed of all necessary matters by circulars, instructions man uals, newsletters, notice-boards, meeting, participative mechanism, etc.
B. Subsidiary functions:
(i) Innovation:
(a) Innovation refers to the preparation of personnel and organisation to face the changes made in the business world.
(b) Innovation includes developing new material, new products, new techniques in production, new package, new design of a product and cost reduction.
(ii) Representation:
(a) A manager has to act as representative of a company.
(b) Manager has dealings with customers, suppliers, government officials, banks, financial institutions, trade unions, etc.
(c) It is the duty of every manager to have good relation with others.
(iii) Decision-making:
(a) Everyemployee of an organisation has to take a number of decisions everyday.
(b) Decision - making helps in the smooth functioning of an organisation.
(iv) Communication:
(a) Communication is the transmission of human thoughts, views or opinions from one person to another person.
(v) Workers are informed about what should be done, where it is to be done, how it is to be done and when it is to be done.

Henry Fayol is the father ofmodern management. The following are the major principles of modern management are,
1. Division of Work:
According to this principle the whole work is divided into small tasks. The specialization of the workforce according to the skills of a person,creating specific personal and professional development within the labour force and therefore increasing productivity.
2. Authority and Responsibility:
Authority means the right of a superior to give the order to his subordinates; whereas responsibility means obligation for performance.
3. Discipline:
It is obedience, proper conduct in relation to others, respect of authority, etc. It is essential for the smooth functioning of all organisations.
4. Unity of Command:
This principle states that each subordinate should receive orders and be accountable to one and only one superior.
5. Unity of Direction:
All related activities should be put under one group, there should be one plan of action for them and they should be under the control of one manager.
 

There are five parts of management as a process
1. Management is Co-ordination:
(i) The manager of an enterprise must effectively co-ordinate all activities and resources of the organisation.
(ii) Namely, Men, Machines, Materials and Money the Four M's of Management.
2. Management is a Process :
(i) The manager achieves proper co-ordination of resources by means of the managerial functions.
(ii) Planning, Organising, Staffing, Directing (or leading and motivating) and controlling.
3. Management is a Purposive Process:
(i) It is directed toward the achievement of predetermined goals or objectives.
(ii) Without an objective, we have no destination to reach or a path to follow to arrive at our destination
(ii) Example; A goal, both management and organisation must be purposive or goal-oriented.
4.  Management is a Social purpose:
It is the art of getting things done through other people.
5. Management is a Cyclical Process:
It represents planning action-control-re-planning cycle. (i.e.,) an ongoing process to attain the planned goals