Implementing SEBI’s New Proposals: Insights from Jidesh Kumar on Potential Impacts on F&O Trading in a Business Today Article

Posted On - 1 August, 2024 • By - King Stubb & Kasiva

The recent proposals by the Securities and Exchange Board of India (SEBI) to reform the Futures and Options (F&O) trading landscape have sparked significant discussions among market experts. In a recent article published in Business Today, Jidesh Kumar provided his expert analysis on the potential implications of these regulatory changes.

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Reduced Trading Volumes and Shift Towards Futures

Jidesh Kumar highlighted that the implementation of these measures could result in a noticeable reduction in trading volumes, especially in options, while possibly encouraging a shift towards futures trading. “Retail participation in F&O might decline due to higher costs and stricter regulations, making the market less attractive for smaller investors,” said Kumar. He emphasized that although some of these proposals may seem stringent, they are designed to foster long-term market stability and protect investors from excessive speculation.

Read full coverage: https://www.businesstoday.in/markets/stocks/story/fo-trading-why-sebis-7-proposals-remind-experts-of-south-korean-stock-market-439614-2024-07-31?onetap=true