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Can a Government Employee Invest in Share Market?
Yes, Government employees can Invest in Stock Market for the long term but government employees cannot trade in the stock market for the short term. but investment in the stock market is subject to certain rules and regulations. Let’s find out what are they.

stock market

The stock market is considered to be a reliable economic indicator and in recent times the investment trends of the country are changing with more and more people entering the stock market. The increase in the purchasing power of common people and the establishment of SEBI as a regulatory body have only fueled people’s trust in the stock market. Further, the advent of many digital trading platforms has only added to the popularity of the stock market.

 

The stock market is considered to be an inclusive place where people of all ages and social statuses can invest but when it comes to Government Employees several restrictions have been put in place. But answering the main question– Can Government employees Invest in the Share Market– Yes, they can but it is subject to several restrictions.

For Stock Market Learning government can refer to stock market basic course

 

Restrictions on Government employees

Section 16 of the Central Civil Services(Conducts) Restricts any government employee to trade in any stock, share, or other investment. This code applies to all government servants whether they are from the Central government, State government, or Union territories. As per the rule, any government employee cannot speculate in the stock market whether it is a stock, share, or other commodities.

Here, Trading is termed speculation which means that he is planning for a high-risk reward game and when speculation comes in then your main occupation is left behind. Therefore, Currency trading, commodity trading, futures, and options trading, futures and options trading, or any form of short-term selling or intra-day trading nothing can be done. Hence, it is concluded that government employees cannot do trading in the share market.

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