Sebi Proposes Higher Trade Threshold for Block Deals
India's market regulator Sebi has proposed increasing the minimum order size for block deal trades to Rs 25 crore. The move, aimed at curbing market manipulation, includes a review of pricing mechanisms and greater transparency. Public feedback on these measures is open until September 15.
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The Securities and Exchange Board of India (Sebi) is considering changes to its block deal trading norms, suggesting an increase in the minimum order size from Rs 10 crore to Rs 25 crore. This change aims to curtail market manipulation and bring more transparency to the stock exchange.
Block deals involve significant share trades between a buyer and a seller in one transaction, executed during two special 15-minute windows in a trading day. Sebi is also reviewing the price bands restricting non-derivative stocks and maintaining existing bands for F&O scrips.
Sebi's consultation paper calls for transparency measures, with exchanges required to publicly disclose trade details after market hours. The public can submit comments on these proposed changes until September 15.
(With inputs from agencies.)
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