Sebi has revised client-level position limit norms and penalty provisions for violations in the commodity derivatives segment, with the changes coming into force immediately. The regulator said the existing position limit framework was introduced in 2017 and aligned with market conditions at that time.
It has now modified the norms after receiving representations to review position limits for agri commodity derivatives and to cap penalties for position limit violations. The changes are based on stakeholder representations, recommendations from the working group on agri commodity derivatives, the Commodity Derivatives Advisory Committee and public comments. Sebi said the objective is to facilitate ease of doing business.
