Sebi has chosen to give greater adaptability to trades with respect to changing agreement determinations for all item subsidiaries contracts. Changes that trades can make include margins, launch date, among others.
The market controller enabled trades to complete non-material adjustments and report to the controller and market members at least 10 days ahead of last date.
The regulator has also allowed exchanges to modify contract specifications for material modifications for all running contracts that have ‘nil’ open interest and those yet-to-be-launched contracts. Such modifications shall require approval from the product advisory committee (PAC) and the regulatory oversight committee (ROC) of the exchange. Such changes need to be brought before Sebi and market participants at least one month ahead of their scheduled date of application.
In one more change, Sebi has requested that trades get earlier endorsement from it for material alterations, which will require considerations and endorsement from PAC and ROC before looking for administrative endorsement.
