šŸ“¢ Too many exams? Don’t know which one suits you best? Book Your Free Expert šŸ‘‰ call Now!


    Question

    What is the minimum duration that a trading plan must

    cover as per the provisions of SEBI (Prohibition of Insider Trading) Regulations?
    A Three months Correct Answer Incorrect Answer
    B Six months Correct Answer Incorrect Answer
    C Nine months Correct Answer Incorrect Answer
    D Twelve months Correct Answer Incorrect Answer
    E Eighteen months Correct Answer Incorrect Answer

    Solution

    Regulation 5 Trading Plans: (2) Such trading plan shall: (iii) entail trading for a period of not less than twelve months; NOTE: It is intended that it would be undesirable to have frequent announcementsĀ  ofĀ  tradingĀ  plansĀ  forĀ  shortĀ  periodsĀ  ofĀ  timeĀ  renderingĀ  meaninglessĀ  theĀ  defenceĀ  ofĀ  aĀ  reasonable time gap between theĀ  decision to trade and the actual trade.Ā  Hence it is felt that a reasonable time would be twelve month.

    Practice Next
    ask-question