Comments
Capital market regulator SEBI has prescribed a standard format for seeking trading preference of clients for same product in different exchanges.
Currently, clients have to give separate authorisation letter in case they want to trade on different stock exchanges for the same segment or different segment.
Also read: SEBI impounds ₹126 crore from 135 companies for market manipulation
Based on the representations received and in consultation with stock exchanges, it has been decided to standardise the format of “Trading Preferences” in order to ensure that clients are permitted to access all the stock exchanges in which the stock brokers are registered for the same segment, said SEBI.
The provision comes into effect from August 1.
New mandate
All stock brokers have been mandated to register their new clients on all the active stock exchanges after obtaining the trading preferences as per the new format, said SEBI.
For existing clients, the stock brokers are mandated to offer them access on all the active stock exchanges for the segments already opted by them, as a default mode, within three months and inform their clients through email / SMS, it added.
Clients shall be given a choice to opt out of such access by providing negative consent and the stock brokers have to activate or deactivate the segments based on the preference of the clients, said SEBI.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.