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Sebi to review MTF margin rules to streamline risk management

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The Securities and Exchange Board of India (Sebi) is set to revamp its margin trading funding framework, aiming to optimize risk management strategies at clearing corporations.

In its 2024-25 annual report, Sebi announced a comprehensive review of the current margining system alongside broader regulatory changes affecting margin trading funding (MTF), angel funds, and more.

SEBI aims to deepen equity market, flags concerns over derivatives frenzy

Alongside the margin review, Sebi is revisiting regulations around angel funds, which are crucial for channeling investment into startups. Additionally, proposals to reclassify REITs and InvITs as hybrid instruments are underway, reflecting global market developments and stakeholder feedback.

(With inputs from agencies.)

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