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Securitised debt must be settled via clearing houses - SEBI

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Reuters MUMBAI
Last Updated : Jan 07 2014 | 5:46 PM IST

MUMBAI (Reuters) - The Securities and Exchange Board of India (SEBI) on Tuesday asked investors to settle over-the-counter trades in securitised debt through registered clearing houses, expanding regulatory oversight over a more opaque segment of markets.

India already mandates that government bonds and corporate debt be settled through clearing houses.

Investors including domestic mutual funds and foreign institutional investors will also have to start reporting trades in securitised debt to exchanges within 15 minutes of the execution from April 1, the SEBI said in a circular.

In August last year, the Reserve Bank had asked all entities it regulates to report their secondary market over-the-counter trades in securitised debt products within 15 minutes of the trade on the reporting platform.

(Reporting by Himank Sharma; Editing by Gopakumar Warrier)

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First Published: Jan 07 2014 | 5:36 PM IST

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