Share prices of Angel One and Nuvama Wealth as well as the BSE rose on Tuesday after SEBI late on Monday had allowed Jane Street group to trade on the exchanges.
Angel One’s stock ended over 4% higher, Nuvama Wealth Management gained nearly 2% and the BSE closed up 1.1%.
Market recovers
These stocks fell as analysts had predicted that Nuvama’s custody business and Angel One’s retail volumes could be affected following SEBI’s interim ban on Jane Street.
Ashwini Shami, executive vice president and portfolio manager at OmniScience Capital, said the concern for these stocks was regarding valuations. “While they have normalised, it is still expensive even if the peak of earnings is achieved.” Valuation of the exchanges may remain elevated until the National Stock Exchange gets listed, he added.
SEBI
The SEBI release on Monday said Jane Street group has agreed to cease and desist from manipulative and fraudulent activities and the exchanges have been asked to closely monitor its activities until the investigation is over.