Extended trading

Sebi must evaluate costs and benefits carefully

The Securities and Exchange Board of India (Sebi) is reported to be considering another round of stakeholder feedback and consultation before it comes to a decision on the National Stock Exchange’s (NSE’s) proposal to extend trading hours for index derivatives. The extension will impose additional costs on brokerages, along with the exchange and clearing houses, while it could lead to volume expansion and give investors better coverage against unforeseen risks in Western markets. The NSE proposes to extend trading hours for equity derivatives from 6 pm to 9 pm. Sebi wants to review and address potential infrastructure, surveillance, settlement, and