Business

SEBI F&O: A Breakdown Of The 7 Proposals Made By The Market Regulator To Reduce Market Speculation

Read on to know about the impact of SEBI F&O as the market regulator releases its consultation paper. Market regulator SEBI, on Tuesday, released seven proposals on F&O trading, and together, they are aimed at de-addicting retail traders from derivatives. Overall, there are proposals targeted at retail traders, brokers, exchanges among others. Securities Exchange Board of India (SEBI) has proposed several measures to deal with speculative trading in index derivatives, which is considered to be gambling by some. Coming to the changes, there has been a reduction introduced in the number of option contracts that expire each week. Meanwhile, there has been announced an increase in the size of these contracts. The capital markets regulator has come up with seven measures that are aimed at reducing market speculation, apart from protecting investors better, and improving market stability. SEBI’s recent proposals come after a few economists and market experts raised concerns ...

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