Sebi Proposes Simplified Trading for NRIs with PAN Monitoring

Sebi has proposed simplifying trading for Non-Resident Indians (NRIs) in exchange-traded derivatives by using PAN as a unique identifier to monitor position limits. This change would remove the need for CP Codes and dealing with a single Clearing Member, enhancing operational efficiency.

The Securities and Exchange Board of India (Sebi) has introduced a proposal to streamline trading processes for Non-Resident Indians (NRIs) involved in exchange-traded derivatives.

This initiative suggests using the PAN as a monitoring tool for position limits, eliminating the requirement for a Custodial Participant (CP) Code. Currently, NRIs face inefficiencies, needing CP Codes and sticking to one Clearing Member (CM) for trading.

Sebi's proposal aims to enhance operational efficiency and has invited public feedback on the changes until December 31.

(With inputs from agencies.)