A Study on the Scope of Implementation of Social Stock Exchange in India

Abstract

Social Stock Exchange provides access to dedicated investors and businesses seeking to achieve a positive social and environmental impact through their activities. The aim of a social stock exchange is to act as a platform to bring social organizations and investors together whose missions and interests align with each other. Social stock exchanges are already established and functioning in a handful of countries including United Kingdom, Canada, South Africa, and Singapore. As far as India is concerned, SEBI has taken quick action to respond to the implementation of social stock exchange proposed in the Union Budget 2019, by forming a working group to examine and make recommendations for the same.

The main objectives of this research paper were to analyse the working of SSEs in different countries using a descriptive study method. On understanding the working of SSEs around the globe, we have suggested certain features that can be implemented in the Indian Social Stock Exchange. We have also brought out the differences in the terms closely related to Social Stock Exchange like- Impact Investing (II), Socially Responsible Investing (SRI), Environmental, Social and Governance (ESG), and Thematic Investing (T.I.).