Indian market regulator Sebi issues new algo trading rules, here’s why it’s significant – Firstpost
1 month, 3 weeks ago

Indian market regulator Sebi issues new algo trading rules, here’s why it’s significant – Firstpost

Firstpost  

The Securities and Exchange Board of India, by announcing the move, aims to cater to increased demand from retail investors for algorithm trading. The agency had earlier raised concerns over emergence of unregistered algo marketplaces The new guidelines require stockbrokers, exchanges, and algorithmic trading providers to put in place stricter risk management measures. Reuters Indian market regulator, the Securities and Exchange Board of India, on Tuesday announced new rules for retail investors in algorithmic trading. Details of the new circular The new guidelines require stockbrokers, exchanges, and algorithmic trading providers to put in place stricter risk management measures. “In order to facilitate safer participation of retail investors in algo trading, with stock brokers and stock exchanges playing the required roles in risk management, it has been decided to review and refine the existing regulatory framework to ensure proper checks and balances, to safeguard investor interest as well as integrity of the market,” the Sebi said in a statement.

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History of this topic

Mint Explainer: Understanding Sebi's new rules for retail investors in algo trading
Trending News
1 month, 3 weeks ago

Mint Explainer: Understanding Sebi's new rules for retail investors in algo trading

Live Mint  

Algorithmic trading, where automated systems execute trades based on programmed strategies, has long been a tool reserved for institutional investors. However, with growing demand from retail investors, the Securities and Exchange Board of India has introduced a framework to allow retail investors to participate in algo trading safely. Retail investors will be allowed to participate in algorithmic trading, but only …

Sebi takes its investor-protection crusade to algo trading turf
Trending News
1 month, 3 weeks ago

Sebi takes its investor-protection crusade to algo trading turf

Live Mint  

The Securities and Exchange Board of India has unveiled a revised regulatory framework aimed at promoting safer participation of retail investors in algorithmic trading. The new guidelines, outlined in Sebi’s circular issued on Tuesday, will require stockbrokers, exchanges, and algorithmic trading providers to implement stricter risk management measures. "While the framework prevents malpractices by enforcing stricter due diligence for algo …

Sebi allows retailers into algo trading from Aug with strict track & trace rules
1 month, 3 weeks ago

Sebi allows retailers into algo trading from Aug with strict track & trace rules

New Indian Express  

MUMBAI: The markets watchdog Sebi has allowed retail investors to trade using algorithmic or algo trading putting in place stricter norms that demand strict track and trace rules to protect them from mishaps amid rising demand. In a circular issued on Tuesday, the Securities and Exchange Board of India said brokers can provide algo trading facility to retail investors only …

SEBI plans new measures for IPO trading amid surge in first-time share sales
2 months ago

SEBI plans new measures for IPO trading amid surge in first-time share sales

Hindustan Times  

India’s securities market regulator is considering steps to formalize trading in initial public offerings where bidding has closed, but the shares are yet to be listed. Madhabi Puri Buch, the chairwoman of the Securities and Exchange Board of India, stated that investors who get allocations may be permitted to exchange their right to those shares before the listing. The Securities …

Sebi to review proposals on SME IPOs, insider trading rules and more at 18 Dec board meeting
3 months, 1 week ago

Sebi to review proposals on SME IPOs, insider trading rules and more at 18 Dec board meeting

Live Mint  

The Securities and Exchange Board of India may approve proposals that will affect small and medium enterprises, angel funds, and the broader securities market through IPO regulations, insider trading rules, and compliance for registered entities during its board meeting on 18 December. Changes to insider trading rules The board is also expected to expand the definition of unpublished price-sensitive information …

Sebi's nod to retail algo trading levels the playing field with institutions
3 months, 1 week ago

Sebi's nod to retail algo trading levels the playing field with institutions

Live Mint  

The Securities and Exchange Board of India has introduced a landmark proposal to bring retail investors into the realm of algorithmic trading—a domain traditionally dominated by institutional players. With advantages such as faster trade execution, enhanced risk management, and cost efficiency, algo trading has the potential to transform retail participation in India’s capital markets. Levelling the playing field The framework …

SEBI proposes retail investors participate in algo trading
3 months, 1 week ago

SEBI proposes retail investors participate in algo trading

The Hindu  

Securities and Exchange Board of India on Friday proposed a framework to allow retail investors to participate in algorithmic trading through stock brokers. A study published by the regulator in September showed that during fiscal year 2024, algorithmic trading accounted for 97% of foreign investors’ and 96% of proprietary traders’ profits in futures and options. SEBI said that there has …

Algo trading coming soon to a terminal near you
3 months, 1 week ago

Algo trading coming soon to a terminal near you

Live Mint  

Algorithmic trading which has remained the preserve of large institutions could soon be open to India's retail investors as well, with the market regulator proposing a framework with critical roles for brokers and stock exchanges. In a consultation paper floated on Friday, the Securities and Exchange Board of India suggested making algo trading available to retail investors through licensed brokers, …

SEBI proposes registration, empanelment for algorithmic traders and providers
Trending News
3 months, 2 weeks ago

SEBI proposes registration, empanelment for algorithmic traders and providers

New Indian Express  

The market regulator Securities and Exchange Board of India has proposed empanelment and registration of algorithmic providers and traders with the exchanges and also has asked tech-savvy retail investors to register the algorithms they have developed with the exchanges through their brokers. Algorithmic trading, also known as algo trading, is a method of using computer programs to automatically execute trades …

SEBI Warns Against Trading Unlisted Securities on Unauthorized Platforms
3 months, 2 weeks ago

SEBI Warns Against Trading Unlisted Securities on Unauthorized Platforms

Deccan Chronicle  

The Securities and Exchange Board of India has issued a cautionary advisory to investors, warning against trading in securities of unlisted public limited companies on unauthorized electronic platforms.In a statement, SEBI highlighted that certain electronic platforms and websites have been facilitating such transactions, which violates the Securities Contract Act, 1956, and the SEBI Act, 1992. These laws are intended to …

Are SEBI’s new F&O rules successful in curbing Indian stock market’s volatility? Experts weigh in
3 months, 2 weeks ago

Are SEBI’s new F&O rules successful in curbing Indian stock market’s volatility? Experts weigh in

Live Mint  

However, the efficacy of these changes is now being questioned by experts, as they anticipate some unintended consequences.Earlier this year, the Securities and Exchange Board of India announced new rules to tackle high volatility in the derivatives market and safeguard the interest of retail investors. Impact on Retail Traders Retail investors, who are often drawn to the quick profit potential …

SEBI Releases Master Circular On Surveillance of Securities Market
8 months, 2 weeks ago

SEBI Releases Master Circular On Surveillance of Securities Market

Live Law  

The Securities and Exchange Board of India has recently issued Master Circular on the Surveillance of the Securities Market. Under the new guidelines, SEBI mandates that trading in certain securities, including those affected by corporate actions such as mergers, demergers, and capital reductions, must initially occur in the Trade for Trade segment. The circular stated that such misinformation, often disseminated …

Sebi extends timeline for verification of market rumours by listed entities
1 year, 5 months ago

Sebi extends timeline for verification of market rumours by listed entities

Live Mint  

The Securities and Exchange Board of India has extended the timeline for verification of market rumours by listed entities. “It has been decided to extend the effective date of implementation of the proviso to regulation 30 of the LODR Regulations for top 100 listed entities by market capitalization, to February 1, 2024 and for top 250 listed entities by market …

Explained | How is the stock market regulated in India?
2 years, 1 month ago

Explained | How is the stock market regulated in India?

The Hindu  

The story so far: On February 10, the Supreme Court asked the Securities and Exchange Board of India and the government to produce the existing regulatory framework in place to protect investors from share market volatility. The SCRA empowers SEBI to recognise stock exchanges, prescribe rules and bye laws for their functioning, and regulate trading, clearing and settlement on stock …

How algo-trading is changing the way people invest in the stock market in India?
2 years, 3 months ago

How algo-trading is changing the way people invest in the stock market in India?

Live Mint  

Algorithmic trading, or algo-trading for short, has become increasingly popular in recent years due to its ability to process large amounts of data and make trades at high speeds, allowing traders to take advantage of market opportunities. Many traders and investors in India use algo-trading to execute trades more efficiently and quickly and to take advantage of market opportunities that …

Why Sebi’s algo trading proposals worry brokers and fintechs
3 years, 3 months ago

Why Sebi’s algo trading proposals worry brokers and fintechs

Live Mint  

The Securities and Exchange Board of India has issued a discussion paper on regulating algorithmic trading, or trades generated out of automatic execution and logic. A working group constituted by Sebi lays the responsibility with the brokers as intermediaries and the exchange as the first-line regulator when retail investors subscribe to algo services. Many experts say the paper reinforces the …

The invisible hand in India’s stock market
4 years ago

The invisible hand in India’s stock market

Live Mint  

Not many people would have heard about these firms. While these are basic examples of what an algo can do, market participants say that more complex and sophisticated algos are now being used by the deep-pocketed global and even domestic institutional investors and brokerages. That is a pretty large share considering the fact that algo trading was allowed in India …

Sebi asks brokers, fund houses, others to ensure compliance with prevention of unlawful acts
5 years, 1 month ago

Sebi asks brokers, fund houses, others to ensure compliance with prevention of unlawful acts

India TV News  

Capital markets regulator Sebi on Tuesday asked stock brokers, mutual fund houses and other market intermediaries to ensure strict compliance with the prevention of unlawful activities law. In a statement, Sebi advised market intermediaries to ensure compliance with instructions pertaining to UAPA or The Unlawful Activities Act. In addition, the regulator has asked market entities to ensure that accounts are …

Sebi gets tough
5 years, 1 month ago

Sebi gets tough

Live Mint  

The Securities and Exchange Board of India has tightened rules that apply to investment advisory services. The market regulator has also prohibited investment advisers from hawking products to their clients. Not all retail investors fully grasp the conflict of interest inherent in advice offered by someone who makes money off the investment being advised. Too many people find themselves lumped …

Market regulator SEBI partially accepts Kotak panel recommendations on corporate governance
6 years, 11 months ago

Market regulator SEBI partially accepts Kotak panel recommendations on corporate governance

Firstpost  

The Securities and Exchange Board of India, on Wednesday, partially accepted the recommendations of the Uday Kotak committee on corporate governance, as well as reduced the additional expenses charged on mutual fund schemes. During its last full-time meeting for the financial year ending 31 March in Mumbai, the SEBI Board also cleared various proposals including allowing stock exchanges to introduce …

SEBI to debate market reforms at upcoming board meeting; insolvency proceeding norms, algo trading on agenda
7 years ago

SEBI to debate market reforms at upcoming board meeting; insolvency proceeding norms, algo trading on agenda

Firstpost  

SEBI will take up number of measures for discussion including overhaul of algo trading rules at its board meeting on 28 March Capital markets regulator Securities and Exchange Board of India will take up a number of measures for discussion at its upcoming board meeting on 28 March, including the overhaul of algorithmic trading rules, enhancing regulatory oversight over auditors …

New Sebi panel to review stock exchange norms
7 years, 5 months ago

New Sebi panel to review stock exchange norms

Live Mint  

The Securities and Exchange Board of India constituted a committee on Monday to review the norms for market infrastructure institutions such as stock exchanges, depositories and clearing corporations. After its 11 February board meeting, the regulator announced a comprehensive review of Stock Exchange and Clearing Corporation regulations, Securities Contracts Act and Sebi Depositories and Participants regulations and sought public comments. …

Why NSE’s IPO plans may not be derailed despite unfair access for brokers
8 years, 2 months ago

Why NSE’s IPO plans may not be derailed despite unfair access for brokers

Live Mint  

Mumbai: The disclosure by the National Stock Exchange that some high-frequency trading brokers may have been provided unfair access to its servers is unlikely to derail the Indian bourse operator’s IPO plans, a senior regulatory source and investors said on Thursday. In its draft initial public offering prospectus, India’s biggest exchange said an external panel had found potential instances of …

Sebi paper on algo trading fuels disquiet
8 years, 7 months ago

Sebi paper on algo trading fuels disquiet

Live Mint  

Mumbai: A Securities and Exchange Board of India discussion paper on regulating algorithmic trading released last week has made market participants anxious. Algorithmic trading refers to a form of order execution using software programs that automatically place orders based on certain mathematical models. If these steps are implemented, then it could push the markets to the 2005 era of manual …

Sebi approves new listing norms for stock exchanges
9 years, 3 months ago

Sebi approves new listing norms for stock exchanges

Firstpost  

Sebi will also issue necessary procedures to ensure compliance of the provisions post listing. Mumbai: Paving the way for the stock exchanges, including BSE and NSE, to get listed, markets regulator Sebi today approved a new set of revised norms for the IPO and listing of the bourses. The new norms, which have been finalised after taking into account the …

Sebi announces risk management framework for commodity bourses
9 years, 5 months ago

Sebi announces risk management framework for commodity bourses

Live Mint  

Mumbai: The Securities and Exchange Board of India has announced a comprehensive risk management framework for commodity exchanges to bring them on par with the regulations for equity bourses. The framework lays down the proportion in which commodity exchanges can accept cash and non-cash margins from members, the manner in which mark-to-market settlement needs to be done in cash and …

Commodities regulatory body FMC finally amalgamates with Sebi
9 years, 5 months ago

Commodities regulatory body FMC finally amalgamates with Sebi

Firstpost  

Commodities market entities would get one year to adjust to the new regulations that are applicable to their peers in the equity segment Mumbai: In the first ever merger of two regulators, the Forward Markets Commission, which is an over 60-year-old commodities regulatory body, on Monday merged with capital markets watchdog Securities and Exchange Board of India with Finance Minister …

New insider trading norms on anvil; delisting to get easier
10 years, 4 months ago

New insider trading norms on anvil; delisting to get easier

India TV News  

New Delhi: To make it easier for listed companies to comply with various regulations and to safeguard the interest of minority investors, regulator Securities and Exchange Board of India is set to bring out new set of norms for listing compliance, delisting of shares and for a better check against insider trading. The new norms -- to check insider trading …

New listing, de-listing regulations next month: Sebi
10 years, 5 months ago

New listing, de-listing regulations next month: Sebi

Firstpost  

Sebi had earlier this year released a discussion paper on revamping the delisting agreements and to come out with listing/de-listing regulations, and had sought feedback on its proposals from various stakeholders. Mumbai: The capital markets regulator Sebi today said it will come out with new listing and delisting guidelines next month, revamping the existing listing agreements, and made it clear …

Sebi provides clarity on preferential issues, anchor investors
10 years, 6 months ago

Sebi provides clarity on preferential issues, anchor investors

Live Mint  

Mumbai: Providing more clarity, Securities and Exchange Board of India on Thursday said revised norms related to anchor investors and preferential share issues would be applicable prospectively from 25 August when the amended regulations came into force. Besides, Sebi has clarified that new anchor investor allocation would be applicable to companies which have filed offer documents with the Registrar of …

Don't compromise on good governance norms, Sebi tells India Inc
10 years, 6 months ago

Don't compromise on good governance norms, Sebi tells India Inc

Firstpost  

Unperturbed by intense lobbying by industry, capital markets regulator Sebi has said that listed companies must follow higher corporate governance standards and there will be no dilution to the new norms kicking in from next month. New Delhi: Unperturbed by intense lobbying by industry, capital markets regulator Sebi has said that listedcompanies must follow higher corporate governance standards and there …

Sebi got new powers in 2013 to fight Sahara, Saradha and other scams
11 years, 2 months ago

Sebi got new powers in 2013 to fight Sahara, Saradha and other scams

Firstpost  

The regulator was also able to provide clarity and a direction to the market in areas like corporate governance and investor protection during 2013. Summing up the year gone by, Sebi Chairman U K Sinha told PTI that the regulator was also able to provide clarity and a direction to the market in areas like corporate governance and investor protection …

Sebi needs to step up criminal enforcement: EU market watchdog
11 years, 4 months ago

Sebi needs to step up criminal enforcement: EU market watchdog

Firstpost  

The European market regulator said that Sebi faces three main challenges that impact the effectiveness of its regulation on the securities market participants. New Delhi: European Esma has lauded Sebi for developing a robust surveillance and enforcement system but has called for a stepped-up criminal enforcement framework for capital market violations in India. “Based on such strong legal framework Sebi …

Focus on compliance, India Inc told
12 years, 3 months ago

Focus on compliance, India Inc told

The Hindu  

The Securities and Exchange Board of India Chairman U. K. Sinha, on Wednesday, urged corporates to focus more on compliance and strengthen their internal control systems. Mr. Sinha said that between 2009 and now, Rs.60,000 crore worth of regulator’s approval were allowed to lapse by companies which had filed draft red herring prospectus with SEBI, presumably owing to market conditions. …

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