When the market becomes dynamic, thoughtful regulation becomes critical and calls for responsibility, Securities and Exchange Board of India chairman Tuhin Kanta Pandey said on Saturday. “Technology is reshaping trading, distribution, and advice. Capital flows are more global, and risks more interconnected,” he said, emphasising that the regulator will continue to invest in technology-led supervision and collaborate to bring innovations for market development.
India is seeing a new generation of investors entering the market and are digitally connected, informed, and aspirational, he said, speaking at Sebi’s Foundation Day. “We recognise that the future of regulation will demand new skills — data analytics, technology, interdisciplinary thinking.”
There are currently over 5,900 listed entities in India and over 140 million unique investors. The market capitalisation has grown at around 15% compound annual growth rate and mutual fund assets rose 20% annually, the chairman said.
Sebi has also taken steps to strengthen its internal governance following a high-level committee’s recommendations on conflict of interest code, he said, adding that in its board meeting in March, the regulator had approved a series of recommendations from the committee on the issue.
Among the key changes on conflict-of-interest rules, the chairman and whole-time members’ investments in equity and equity -related investments (except for mutual funds and other pooled instruments) have to be liquidated or frozen at the time of joining. They can also sell through a trading plan or sell with prior approval.
