The stock exchange regulator stated is thinking about a much easier risk-based technique to streamline on-boarding customers for derivatives trading, easing issues about curbs on retail involvement.
” SEBI, in line with the goal of ease of operating, is at an early phase of examining if the aforementioned circular can be made relevant based upon danger evaluation of the customers,” the Securities and Exchange Board of India stated in a declaration on Saturday.
For trading in the acquired section, SEBI guidelines recommend that the stock broker will have documentary proof of monetary ability for all customers. The marketplaces regulator’s remark came in the middle of speculation that it is seeking to suppress retail involvement in the F&O market.
” There is no proposition to suppress retail involvement in acquired market,” SEBI stated.
Usually 2.8 million retail financiers sold the F&O market monthly in FY23, revealed NSE information. And the count, according to a SEBI study, rose 500% from FY19 to FY22. 9 of 10 private traders wound up losing cash throughout the duration.