India’s market regulator SEBI is initiating a broad regulatory overhaul aimed at simplification and modernization. Chairperson Madhabi Puri Buch emphasized the need for boards to address data ethics and algorithmic fairness, while calling for authentic ESG practices. SEBI is also reportedly open to revising brokerage fee caps for mutual funds.
In a sweeping policy recalibration, the Securities and Exchange Board of India (SEBI) is preparing to review and rationalize several existing regulations to better align with evolving market dynamics and technological realities. The move reflects SEBI’s intent to foster transparency, innovation, and investor protection in India’s capital markets.
Key Highlights:
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SEBI Chair Madhabi Puri Buch announced plans to simplify and rationalize multiple regulations, aiming to reduce
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Corporate boards were urged to expand their oversight beyond financial risks to include data ethics and algorithmic fairness, especially in tech-driven financial services.
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Buch stressed that ESG disclosures must be genuine, with measurable outcomes—not mere branding exercises.
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In a potential shift, SEBI is open to raising the cap on brokerage fees paid by mutual funds, according to sources familiar with the matter. This could impact fund distribution economics and investor costs.
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The announcements signal SEBI’s proactive stance in adapting to global standards while safeguarding domestic market integrity.
These developments mark a pivotal moment in India’s regulatory landscape, with implications for governance, fintech, and sustainable investing.
Sources: Reuters, Bloomberg, SEBI public statements.