The Securities and Exchange Board of India (SEBI) expanded its framework for qualified stock brokers (QSBs)!
Banking & Finance
The Securities and Exchange Board of India (SEBI) expanded its framework for qualified stock brokers (QSBs), setting out three additional parameters for their identification that includes brokers’ compliance score, proprietary trading volumes and grievance redressal mechanism. Brokers can now voluntarily opt to become QSBs. SEBI had previously outlined four parameters to designate a stockbroker as a QSB in a circular dated February 6, 2023. These parameters included the total number of active clients, total assets of clients, trading volumes, and end-of-day margin obligations. The initial list of QSBs was issued on March 3, 2023, based on these criteria. The revised framework for designating a stockbroker as a QSB includes the following parameters: Total number of active clients. Available total assets of clients. Trading volumes (excluding proprietary trading).
The revised list of QSBs will be released jointly by stock exchanges in consultation with SEBI.
Securities and Exchange Board of India (SEBI)
HQ- Mumbai; Establishment- 12 April 1992
Chairperson- Madhabi Puri Buch
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