Archive · 13 Jan 2026
Sebi Proposes Major Trading Rule Overhaul
The Securities and Exchange Board of India (Sebi) has proposed big changes to how stock markets are regulated.
They want to make the rules simpler and give more responsibility to stock exchanges.
One of the main changes is increasing the minimum net worth required for brokers who offer margin trading facilities.
Sebi also wants to remove old rules that are no longer useful and update others that are more than ten years old.
This is part of their effort to make it easier to do business while keeping the market safe.
Stock exchanges will have more power to monitor and enforce rules, which should help catch problems faster.
The changes also aim to protect investors by ensuring that only financially strong brokers can offer leverage.
Public comments on these proposals are open until 30 January 2026.
Sebi proposes merging existing trading norms into a single consolidated circular.
Minimum net-worth requirement for MTF brokers to be raised from ₹3 crore to ₹5 crore.
Stock exchanges to have more authority in supervision, monitoring, and enforcement.
Proposals aim to streamline compliance, remove outdated provisions, and update norms.
Public comments on the consultation paper are open until 30 January 2026.
- Who
- Securities and Exchange Board of India (Sebi)
- What
- Proposed major overhaul of trading rules
- When
- Consultation paper released on Friday (specific date not mentioned)
- Where
- India
- Why
- To simplify regulations, streamline compliance, and update outdated norms
- Proposed Minimum Net-Worth for MTF Brokers
- ₹5 crore (up from ₹3 crore)
- Consultation Paper Release Date
- Friday (specific date not mentioned)
- Public Comments Deadline
- 30 January 2026
- Key Circulars to be Revised
- Master Circular for Stock Exchanges and Clearing Corporations (MSECC) and Master Circular for Commodity Derivatives (MCCD)
- Focus Areas
- Streamlining compliance, removing outdated provisions, updating norms