SEBI proposes overhaul to simplify trading, tighten T+1 clearing accountability
SEBI (India's stock market regulator) is planning some major updates to make trading smoother and less complicated.
The new proposals, announced Thursday, focus on cutting out outdated rules and making clearing corporations more accountable under the faster T+1 settlement cycle.
Clearing corporations to absorb pay-in shortages
Clearing corporations would now fully handle pay-in shortages and penalties, with simpler, fixed penalty limits instead of confusing calculations.
Old-school paperwork, like quarterly net worth certificates signed by their managing directors, may be removed.
SEBI also wants to remove rules tied to the now-obsolete T+2 cycle, require clear steps for unexpected settlement holidays, and expand transparency about the Settlement Guarantee Fund across all markets.
Overall: fewer hassles, more clarity.