Sebi Norms

Sebi directs MIIs to adopt uniform policy on data sharing for research

These market infrastructure institutions (MIIs) have been asked to segregate such data into two baskets-one that can be shared with the public and the second that cannot be made public

Algo trading: Understand risks, have realistic return expectations

The circular is expected to provide retail investors access to registered and approved algos, ensuring their interests are protected

Sebi introduces new measures to curb misleading investment return claims

Sebi announced that a credit rating agency would act as the verification agency, while a stock exchange will serve as the data centre

Sebi defers ESG disclosure deadline under BRSR framework by 1 yr to FY26

Markets regulator Sebi has decided to defer the ESG disclosure deadline for value chain partners of listed companies by one year until FY26, giving more time to them to comply with the Business Responsibility and Sustainability Reporting (BRSR) requirements. Until then, environmental, social and governance (ESG) reporting will remain voluntary instead of the current "comply-and-explain" approach. The proposal, approved by Sebi's board on Wednesday, is aimed at enhancing ease of doing business for listed companies and their value chain partners in meeting BRSR requirement. The Sebi's board approved several relaxations and updates for ESG disclosures. These include "deferring ESG disclosures for value chain", as well as "assessment or assurance" thereof, by one year. Hence, ESG disclosures for value chain shall apply from FY26 (as against the current requirement of FY 2024-25) and "assessment or assurance" thereof shall be applicable from FY 2026-27 (as against the current requiremen

Sebi eases norms for boarding of investment advisors, research analysts

Allows part-time advisors and analysts, reduces compliance requirements

Compensation paid by companies to independent director continues to rise

Steady growth in the number of companies paying a sitting fee of Rs 100,000 or more per board meet

Developing LLM to cut approval times further: Sebi member Narayan

Capital markets regulator Sebi is training a large language model (LLM) to further cut processing times on approval requirements, whole time member Ananth Narayan G said on Tuesday. "We are actually starting to train an in-house LLM in Sebi to process, so that the processing times for fresh funds and fresh schemes can come down dramatically," Narayan said, addressing a CII event here. LLMs are advanced AI systems designed to understand and generate human language. They use deep learning techniques and are trained on massive amounts of text data, allowing them to perform tasks like writing, summarizing, and translating text. While efforts to deploy AI and machine learning are on in all sectors, this may be the first time that a financial regulator in the country would have disclosed specific efforts like developing an LLM. Narayan said Sebi has already reduced the time taken for processing applications for clearance on mutual fund schemes and initial public offerings to less than .

Boards of Nifty 100 companies expand with more independent, women directors

The 2024 edition of the survey shows that 14 per cent of Nifty 100 companies in FY24 had 14 or more directors, up from eight such companies in FY21 and 11 in FY23

Sebi enacts significant changes to disclosure and RPT regulations

Ex-WTM S K Mohanty-led expert panel laid the groundwork for these reforms

Sebi extends deadline to Dec 31 for comments on clearing corps' ownership

Markets regulator Sebi on Friday extended the timeline till December 31 to submit public comments on a proposal of diversifying ownership of clearing corporations, which are at present fully owned by stock exchanges. Sebi floated a consultation paper on the review of ownership and economic structure of clearing corporations (CCs) on November 22 and sought comments on the same by December 13. "Based on the representations received by Sebi from some of the entities/organisations, it has been decided to extend the timeline to submit the public comments on the consultation paper till December 31, 2024," the regulator said in a statement. In its consultation paper, Sebi proposed diversifying and widening the ownership of the clearing corporations, which are at present wholly-owned subsidiaries of stock exchanges. Sebi rules prohibit CCs from listing publicly but allow stock exchanges (their parent entities) to list, indirectly exposing CCs to market pressures. "While looking to broad b

Sebi extends date for comments on appointment process of officials at MIIs

Sebi on Friday extended the deadline to December 31 for submitting public comments on a proposal on the process to appoint key officials of stock exchanges and other market infrastructure institutions and a cooling-off period before they can join a competing institution. Earlier, the deadline was December 12 for submitting comments. In a statement on Friday, the Securities and Exchange Board of India (Sebi) said, "It has been decided to extend the timeline to submit the public comments on the consultation paper till December 31, 2024." The regulator, in its consultation paper issued in November, proposed a process for the appointment of KMPs (key managerial personnel) -- Compliance Officer, Chief Risk Officer, Chief Technology Officer, and Chief Information Security Officer of an MII and cooling-off period for KMPs, including MDs and directors, including public interest directors of an MII joining a competing MII. On the proposed process for appointment, Sebi stated that market ..

Sebi trying to reduce float to cut risk, bring transparency: WTM Narayan

Ananth Narayan says total float with brokers, custodians equals a mid-sized bank

Sebi issues warning letter to HDFC Bank for regulatory non-compliance

HDFC Bank said that it will take necessary steps to address the concerns and directives mentioned in the letter

Sebi revises guidelines for real-time performance monitoring of MIIs

Markets regulator Sebi on Tuesday came out with new guidelines for stock exchanges, clearing corporations and depositories to ensure robust capacity planning and real-time performance monitoring of their critical IT systems. Under the guidelines, market infrastructure institutions (MIIs) have been directed to develop future-ready frameworks to estimate capacity needs based on trends, historical data, transaction growth, and business changes, according to a Sebi circular. Also, they have been asked to submit methodology details to Sebi within three months after approval from the Standing Committee on Technology (SCOT) and the Governing Board. MIIs have been asked to ensure adequate system capacity in place to handle high volumes to ensure high level of service availability. The installed capacity should be at least 1.5 times of the projected peak load. The projected peak load should be based on trends from the past 180 days and other relevant factors. They have been asked to conduc

Sebi permits ICEX to exit bourse business after recognition withdrawn

Markets regulator Sebi on Tuesday allowed the Indian Commodity Exchange (ICEX) to exit the exchange space after its recognition was withdrawn over two years ago. The move comes after the exchange fulfilled regulatory requirements. Additionally, the regulator has directed ICEX to comply with its tax obligations under the Income Tax Act, 1961; change its name and not to use the expression "stock exchange" and maintain database of all transactions on its platform for the previous years among others. In an exit order, Sebi said it has reviewed ICEX's valuation report, compliance submissions and undertakings. The bourses declared all known liabilities and assured Sebi it had no undisclosed third-party liabilities. The exchange also undertook full responsibility for any future financial claims that may arise. Accordingly, the Securities and Exchange Board of India (Sebi) has permitted "the exit of the ICEX as a stock exchange and thus the consequent withdrawal of recognition granted to

Cracking the whip: Why Sebi is tightening rules for public issues of SMEs

SME IPO is a red-hot market segment. Many of these floats routinely see 100-time subscription and massive gains upon listing

Market regulator Sebi warns against unregistered online debt platforms

The platforms are offering unsecured debt securities, which are not backed by any collateral and carry higher risk

Sebi mulls new framework to help passive funds reduce tracking error

Separate call auction session proposed to mitigate final hour volatility

Sebi launches online document repository platform for investment bankers

The online platform, set up by stock exchanges, will enable merchant bankers to upload and maintain documents electronically, ensuring easier access to documents pertaining to the public issue process

Sebi issues rules for uniform nomination standards in securities markets

Markets regulator Sebi has notified rules on nomination allowing nominees to act on behalf of incapacitated investors. Additionally, it notified the rule mandating every participant to provide beneficial owners with the option to nominate a person to whom their securities will transfer upon their death. "Every participant shall provide an option to the beneficial owner to nominate, in the manner as may be specified, a person who shall be authorised to conduct transactions on behalf of the beneficial owner in the event of the incapacitation of the beneficial owner," Sebi said in a notification. The new rules are aimed at enhancing investor convenience and introducing uniform standards for nomination facilities across the Indian securities market. In the case of joint ownership, the owners can collectively nominate a person to receive the securities in the event of death of all the joint beneficial owners. Further, the depository and participant will not be held liable for any actio