SEBI puts forth new ASBA form
Q. SEBI has recently kicked in a new form for ASBA. What does ASBA stand for?- Published on 04 Jan 16a. Application Supported by Brokerage Amount
b. Application Sustained by Blocked Amount
c. Application Supported by Blocked Amount
d. None of the above
ANSWER: Application Supported by Blocked Amount
The checklist regime has been included for initial public offerings, whereby capital market regulator SEBI has put in place for ASBA or Application Supported by Blocked Amount facility. ASBA facility has become compulsory for all categories of investors applying for public issue for payments from January 1 2016. Facility allows the bid amount to remain in applicants account till the time of the final allocation of the shares.
