INSUBCONTINENT EXCLUSIVE:
Market regulator Sebi Friday directed stock exchanges to make additional disclosures on their websites with regard to trading in commodity
derivatives segment.
"Stock exchanges shall make disclosures on a weekly basis for every Wednesday by next Wednesday (and for next trading
day in case of holiday on any Wednesday) by October 1, 2019," Sebi said in a circular.
However, from April 1, 2020 onwards disclosures would
be made on a daily basis by 6 pm on T+1 day, where T refers to trading day.
According to regulator, exchanges need to make disclosures about
open interest and turnover for various categories of participants at commodity as well as market level in a prescribed format.
Exchanges
need to categorise participants in six categories -- Farmers/FPOs (Farmers Producers Organisations), value chain participants, proprietary
traders, domestic financial institutional investors, foreign participants and those who cannot be classified in five categories to be placed
in 'others' category.
The categorisation of clients/members would be made on self-declaration basis for each commodity.
However, exchanges
can re-classify any participant where it deems necessary to do so based on information available with it, Sebi said.
Besides, exchanges need
to make disclosure for commodity-wise top participants, members and market wide position limits.
The disclosures regarding commodity-wise
top participant among others, exchanges would need to make it on daily basis, "latest within a month," regulator added.
Moreover, exchanges
are required to maintain complete historical data of additional disclosures on their websites in spreadsheet format, Securities and Exchange
Board Of India (Sebi) said.
The recommendations are in line with Commodity Derivatives Advisory Committee (CDAC), Sebi added.
