SEBI prescribed warehousing norms
Guideline for foreign entities on hedging activity in agri trade is expected soon, according to P.K. Bindlish, HOD-Commodity Derivatives Market Regulation Department in the Securities and Exchange Board of India (SEBI).
All India Consultation to finalise the guidelines for exchange of mutual funds is underway, said Bindlish, adding that any exchange can provide any product by 1 October 2018 onwards.
Category III AIFs have already been allowed for increasing institutional participation in the commodity derivatives markets.
Meanwhile, SEBI has prescribed warehousing norms for agricultural commodities and is in process of doing the same for the non-agri commodities,
SEBI has taken a number of steps in this direction for more participants for more awareness programme in commodity derivatives and risk management, said Bindlish.
SEBI has started a system of commodity trainer’s concept to train them and this training session for commodity trainers will be conducted in 10 days’ time.
SEBI will continue with its endeavour of development of commodity derivatives market, assured Bindlish while inaugurating an ASSOCHAM 16th Commodity Futures Market Summit held in New Delhi on 19 July 2018.
The expert advisory committee constituted to advice on risk management system. All settlements and cleaning to be handled by cleaning corporation system.
He also disclosed that one of the two exchanges’ proposals for clearing corporations will be approved soon. fiinews.com
