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Measures are in place to address excess volatility: Sebi

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Capital Market
Last Updated : Feb 06 2023 | 10:04 AM IST
The Securities and Exchange Board of India (Sebi) on Saturday (4 February) said that it was committed to ensuring an orderly and efficient functioning of the market. It added that surveillance measures have been put in place to address the excessive volatility in specific individual stocks.

Sebi issued the statement amid the ongoing selloff in Adani Group stocks.

In a press release, SEBI stated that as part of its mandate, it has put in place a set of well-defined, publicly available surveillance measures to address excessive volatility in specific stocks. This mechanism gets automatically triggered under certain conditions of price volatility in any stock.

Further, in all specific entity-related matters, the market regulator said if any information comes to its notice, then, as per extant policies, the same is examined and after due examination, appropriate action is taken. It further said that Sebi has consistently followed this approach on entity-level issues and would continue to do so in future as well.

Sebi said the Indian financial market as represented by Sensex and Nifty has demonstrated ongoing stability and is continuing to function in a transparent, fair and efficient manner.

It added that, on a longer term basis, Indian markets have been viewed positively by investors. A cross-country comparison of dollar adjusted market returns with both peer and developed countries, during the past 3 years till date, places the Indian market as a positive outlier.

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First Published: Feb 06 2023 | 9:44 AM IST

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