The Securities and Exchange Board of India has introduced a young professional (YP) programme with the aim of hiring a clutch of twenty-somethings for one to three years to assist its Board in matters related to the securities market and information technology.

The 50-odd YPs will be posted in Mumbai and get a stipend of ₹70,000 per month. They can work for a year and be given two extensions of one year each but will not be considered as officers or employees of the regulator. They will not be entitled to any compensation or employment in the Board in the event of death, injury or illness during their term.

YPs may be assigned projects or work of a non-confidential nature, depending on their domains. They cannot take up any other assignment during the period of their engagement with the regulator.

This is perhaps the first time that the market watchdog is extensively using the services of gig or temp workers. An email sent to SEBI on the rationale for such hires did not get a response.

Anil Choudhary, Partner, Finsec Law Advisors, believes the move will aid inclusivity, bring in fresh ideas and help in the country’s Skill India Mission.

Those working in the securities market domain can be post-graduates in management, chartered accountants, company secretaries, cost management accountants and chartered financial analysts from the CFA Institute, US.

Their work could include analysis of IPO applications; streamlining process of public offer documents; mutual fund surveillance; corporate governance matters; analysing data of compulsorily delisted firms and analysis of past and current court cases pertaining to credit rating agencies, among others.

“Working for a year or two at SEBI can add a lot to the CV of these youngsters and could help them chalk a bright career path in the financial services industry. The regulator, however, needs to be mindful of ensuring a culture that offers flexible work schedules and work-life balance,” said Parag Shah, Strategic Advisor-BFSI, Xpheno.

Rules for YPs

YPs shall not indulge in trading or speculation of stocks, securities or commodities of any description. They cannot make any direct or indirect investment in equity and equity-related instruments including convertible debentures and warrants, except in units of mutual funds, exchange-traded funds, non-convertible bonds and non-convertible bonds and non-convertible debentures, and in rights issues of shares already held by them.

YPs will be deemed to be “insiders” and shall not act on, cause someone else to act on or communicate any unpublished price-sensitive information.

Every year the regulator conducts exams to recruit grade A officers. The results for the phase 1 grade A exams for this year were declared earlier this month.

Related Topics