What is the objective of SEBI's guidelines on insider trading?  A. To promote insider trading  B. To prevent unfair trade practices  C. To encourage market manipulation  D. To increase speculation in the market

The objective of SEBI's guidelines on insider trading is B. To prevent unfair trade practices.

Insider trading refers to the practice where insiders, such as directors, key managerial personnel, and other employees of a company, who have access to non-public, price-sensitive information about the company, use that information to trade in the company's shares. This can lead to unfair trade practices as these insiders have an unfair advantage over other investors who do not have access to this information.

SEBI (Securities and Exchange Board of India), the regulator for the securities market in India, has issued guidelines on insider trading with the objective to prevent such unfair trade practices. These guidelines aim to ensure that everyone in the market has a fair and equal chance to make decisions based on publicly available information, thereby promoting fairness and transparency in the securities market.