SEBI updates stockbroker rules for the digital age
SEBI just rolled out new rules for stockbrokers to better match how trading actually happens today.
The changes, approved by the SEBI board chaired by Chief Tuhin Kanta Pandey, are all about keeping up with things like algorithmic trading and online investment platforms—basically making sure the regulations aren't stuck in the past.
What's new and why it matters
For the first time, SEBI has clearly defined algorithmic trading as any order generated/placed using automated execution logic, so there's no more confusion for brokers or regulators.
They've also set guidelines for platforms that let you buy mutual funds directly online.
Plus, some old requirements have been dropped and brokers can now access government securities trading platforms—making things smoother and more relevant to how people invest today.