Sebi tests T+0 settlement after T+1 success, aiming for efficiency. Buch stresses faster settlements to compete with cryptos, targeting youth. Sebi Chair encounters legal setbacks, prompting investigative scrutiny. India’s capital markets have taken major strides in enhancing efficiency and accessibility. Following the successful implementation of a one-day trade settlement (T+1), Sebi recently began the test […]
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- Sebi tests T+0 settlement after T+1 success, aiming for efficiency.
- Buch stresses faster settlements to compete with cryptos, targeting youth.
- Sebi Chair encounters legal setbacks, prompting investigative scrutiny.
India’s capital markets have taken major strides in enhancing efficiency and accessibility.
Following the successful implementation of a one-day trade settlement (T+1), Sebi recently began the test phase of same-day settlement (T+0). Moreover, the regulatory body plans to roll out instant settlement (T) into the market by next year.
According to Bloomberg reports, the move towards faster settlements aims to “improve capital efficiency” and curb “counterparty risk.” Sebi Chairperson Madhabi Puri Buch highlighted that the defect rate of settlements has already halved from about 0.8% to 0.4% after implementing T+1.
The transition may pose challenges for stakeholders, including local brokers and foreign funds. These market participants may need to adapt transaction processes and payments across different time zones.
Nonetheless, Buch believes this move will compel regulated markets to c…
The post Sebi’s World-Firsts Overshadowed by Market Flaw appeared first on Coin Edition.
