The Securities and Exchange Board of India (SEBI) has announced a significant extension for Qualified Stock Brokers (QSBs) regarding the implementation of the optional T+0 rolling settlement cycle in Equity Cash Markets. Originally set for May 1, 2025, the new deadline is now November 1, 2025. This decision comes after valuable feedback from QSBs and thorough discussions with various market participants, aimed at ensuring a smooth transition. Notably, all other aspects of the circular issued on December 10, 2024, will remain intact.
Key Objectives of the Extension
SEBI’s initiative is designed to enhance market efficiency and reduce settlement times, aligning India’s operational processes with international standards. Here are the main points regarding this extension:
- Deadline Shift: New deadline is November 1, 2025.
- Feedback Consideration: Extension based on input from QSBs and market discussions.
- Regulatory Compliance: Market Infrastructure Institutions must revise systems and ensure all stakeholders are informed.
Strengthening Insider Trading Regulations
In another significant move, SEBI has broadened the scope of its automated trading window closure system under the Prohibition of Insider Trading (PIT) Regulations. Starting in July 2025 for the top 500 listed companies and in October 2025 for all others, this new regulation will include immediate relatives of designated persons (DPs). This initiative aims to bolster compliance and transparency in the market by preventing insider trading during sensitive periods.
- Monitoring Requirements: Companies are tasked with implementing system-driven oversight of trading restrictions.
- Enhanced Governance: This move reflects SEBI’s ongoing commitment to improving accountability and fostering investor confidence.
Ather Energy’s IPO Success
In recent market news, Ather Energy’s initial public offering (IPO) has seen a remarkable oversubscription of 1.50 times, indicating robust investor interest. For every share available, 1.5 shares were requested by investors, highlighting strong confidence in Ather Energy’s prospects within the burgeoning electric vehicle sector. This enthusiastic response could lead to a higher listing price or a pro-rata allotment for investors.
- Market Sentiment: Positive outlook attributed to the company’s innovative products and expanding network.
- Sustainable Mobility: Growing demand for eco-friendly transport solutions plays a significant role in this interest.
New Fund Offerings from Major Asset Management Firms
Several prominent asset management companies, including HDFC, Bajaj, Groww, and others, have rolled out new fund offerings (NFOs) across various investment categories. These NFOs include:
- Debt Index Funds
- Nifty Indices (Next 50 and Nifty 50)
- Gilt Funds
- Infrastructure Funds
- Internet Economy Index
- Silver ETF Fund of Funds
- Multi-Cap Growth Plans
These offerings, all structured as direct growth plans, provide investors with diverse options across multiple sectors and asset classes, allowing for a well-rounded investment strategy.
Conclusion
With these recent developments, SEBI is taking vital steps to enhance the integrity and efficiency of the Indian capital markets. The extended deadline for the T+0 settlement cycle and the strengthened insider trading regulations are pivotal in fostering a more transparent and trustworthy environment for investors. As the market continues to evolve, these initiatives will play a crucial role in shaping the future of investment in India.
