Social Stock Exchanges
The Securities and Exchange Board of India (SEBI) has constituted a technical group on Social Stock Exchanges (SSEs). The technical group report has recommended that political and religious organisations, trade organisations as well as corporate foundations should not be allowed to raise funds through SSEs. It said both For Profit Enterprise (FPE) and Not for Profit Organisation (NPO) will be eligible to tap the SSE if they are able to show their primary goals are social intent and impact. It also said that entities listed on SSE will have to disclose their social impact report on an annual basis. This report should cover aspects such as “strategic intent and planning, approach, impact score card”. The report has also made a list of eligible activities that social enterprises can engage in such as eradicating hunger, poverty malnutrition and inequality among others.
- What is a social stock exchange? What are the benefits of it?
- What is the role and significance of SEBI in the capital market?