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ANSHU Raj   21 March 2021

trading or investment in share market for central government employees

Hello sir/ma'am

can central government employees do trade or make investment in share market?
please give information in this regard.
thanks.


Learning

 2 Replies

Mrityunjay Joshi   23 March 2021

Hello Mr. Anshu Raj

Investments in shares, debentures and mutual funds can be made by the Government servant. However "frequent buying and selling" of these are considered as "speculation" and is banned.

Futher in terms of rules and DOPT memorendum disclosure of such trading has to he done for each financial year..

Purchasing shares and keeping it as long term investment by a government employee is not an offence.

Indulging in share market trading activities by a government servant is restricted. 

1. Making investments in your own personal account is very much permissible and there is no legal impediment in it even if you hold a government job.

2. You can not make daily r regular trading on behalf of another person but as far as personal investment is concerned it is very much permissible.

3. Few PSU employees may have restrictions in trading shares of the same PSUs . otherwise fell free to make money by making sensible investments in money market.

ANSHU Raj   24 March 2021

thank you so much sir

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