The Finance Ministry recently appointed a committee on small savings, to revamp the whole system. A key recommendation was linking the interest rates on small savings, to the market determined curves. Even though the recommendation has inbuilt safeguards like limiting interest rate volatility to +_ 100bps/annum, it will still result in less money for the investors. At a point where we are giving incentives to big investors via tax exemptions, FDI relaxations etc, it does not seem fair to reduce the interest rates for only these people. Read the whole report here- www.finmin.nic.in/reports/Report_Committee_Comprehensive_Review_
On the equity front, things are not much better. Financial Reporting requirements have become laxer. While some rule relaxations prevent wasteful reporting/printing(for example no need to attach subsidiary annual reports by default if you are presenting audited consolidated financial accounts), other points like 'opt out' emailing of annual report/accounts to shareholders, is a point of concern. All these years, SEBI had recommended that companies should quickly upload the annual report on their websites, but most companies had turned a deaf year. Finally, when SEBI made it mandatory for Stock exchanges to make this information available on their sites, the Ministry of Company Affairs woke up and decided to allow companies to send the annual report to the registered email address of their shareholders. But this comes without a mandate for them to upload it on their sites OR send it on request to the public. After all, stock markets are supposed to help even prospective investors, yet they often have to rely on private services to get the annual reports of smaller companies. Will this situation change? Another point of concern is the relaxation of segment reporting(quantitative and some other details no more needed) and the enhanced ceiling(from 2lakh/month to Rs 5 lakh/month) for identifying highly paid employees. All these points affect all investors, but institutional investors/analysts can access companies directly, which the retail investor mostly cannot.