The first SEBI board meeting under new chairperson Tuhin Kanta Pandey signalled a review of the NSE IPO, relief for FIIs. The Chairperson also touched upon market volatility, global challenges and other key issues.
Here is a look at the top takeaways from his address after the board meeting-
#Relief for FIIs
The market regulator, SEBI eased norms for FIIs. It has approved a proposal to increase the applicable threshold for FPI investment to Rs 50,000 crore from Rs 25,000 crore. The chairman also clarified that FPIs holding more than Rs 50,000 crore of equity AUM in the Indian markets will be required to make additional disclosures as described in the circular dated August 24, 2023.
#SEBI on market volatility
Speaking on the the market movement in recent times, the SEBI Chairman highlighted that “Indian markets are not as volatile despite the global turmoil.” He said, the volatility index (VIX) value in India is less than 14 at the current juncture, which is about the same level as in September last year.
“Normally in the kind of turmoil that we are seeing in the world today, you would have anticipated far more VIX than currently,” Pandey told reporters. He also pointed out that after the corrections in the last few weeks, the Indian markets have also seen some buyer interest over the last few days.
#SEBI to review NSE IPO proposal
All eyes are on the much awaited NSE IPO and there are concerns about the delay in the launch. Addressing media on the issue Pandey said that though he would not comment on specifics but the market regulator is looking into it, “We will apply our minds to NSE’s IPO proposal. We will look into how we can take it forward.”
#Crackdown on finfluencers
SEBI, in recent times has come down heavily on finfluencers. Addressing the media after the first board meeting since he took charge. Pandey reiterated the market regulator’s priority to tighten compliance and eradicate misinformation. Pandey highlighted SEBI’s aggressive initiative in tackling unregistered financial advisors and finfluencers to task and ensuring better trade practices.
#Rare reversal
Moreover, SEBI has deferred the implementation a proposal from December meeting. This is with regards to amendments for merchant bankers, debenture trustees and custodians. In December, the SEBI board had approved that they could carry out other regulated activities as separate entity after registration confirmation from concerned authorities.