Sebi has accepted institutional investors? plea to keep the implementation of upfront margining of institutional trades in the cash market in abeyance until further directions. It said market participants expressed difficulties in implementing upfront margining of such trades.
?It has been decided to keep the norms on margining of institutional trades in the cash market in abeyance. Accordingly, institutional trades in the cash market would continue to be margined on T+1 basis until further directions,? a Sebi circular released on Thursday stated.
The regulator has directed stock exchanges to bring the provisions of the circular to the notice of brokers and clearing members. Institutional traders had asked Sebi to extend the date of implementation of its March 19 circular, as RTGS and other facilities were not available in some parts of the country to comply with the new norms.