Home India Securities and Exchange Board of India Segregation and Monitoring of Collateral at Client Level – E...
Date: 2021-11-23 Category: Not Applicable State: Union Government Country: India

Segregation and Monitoring of Collateral at Client Level – Extension of timeline

Issued by Securities and Exchange Board of India · Not Applicable

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Executive Summary & Key Takeaways

**Summary:** This Securities and Exchange Board of India (SEBI) circular, reference number SEBI/HO/MRD2/DCAP/CIR/2021/667, dated November 23, 2021, addresses the segregation and monitoring of collateral at the client level. It serves as an extension of the timeline established in circular number SEBI/HO/MRD2/DCAP/CIR/2021/0598, dated July 20, 2021. Based on representations from stakeholders, the circular postpones the implementation date of specific provisions (excluding paragraphs 4 and 5 of the July 20, 2021 circular) from December 1, 2021, to February 28, 2022. This directive is issued under the authority granted by Section 11(1) of the Securities and Exchange Board of India Act, 1992, and Section 10 of the Securities Contracts Regulation Act, 1956, to protect investor interests and regulate the securities market. Inquiries can be directed to Sudeep Mishra, General Manager, Market Regulation Department, at sudeepm@sebi.gov.in. The circular is addressed to all recognized clearing corporations and stock exchanges.

Key Entities Referenced

Securities and Exchange Board of India: Regulatory body for the securities market in India. SEBIHOMRD2DCAPPCIR2021667: Circular number issued by the Securities and Exchange Board of India. Recognized Clearing Corporations: Entities recognized by SEBI for clearing and settling securities transactions. Recognized Stock Exchanges: Stock exchanges recognized by SEBI in India. SEBIHOMRD2DCAPCIR20210598: Circular number issued by the Securities and Exchange Board of India on July 20, 2021. Securities and Exchange Board of India Act, 1992: The act under which SEBI's powers are defined. Securities Contracts Regulation Act, 1956: Act to regulate securities contracts. Sudeep Mishra: General Manager, Market Regulation Department at SEBI.
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¼ããÀ¦ããè¾ã ¹ãÆãä¦ã¼ãîãä¦ã ‚ããõÀ ãäÌããä¶ã½ã¾ã ºããñ¡Ã Securities and Exchange Board of India CIRCULAR SEBI/HO/MRD2/DCAP/P/CIR/2021/667 November 23, 2021 To All Recognized Clearing Corporations All Recognized Stock Exchanges Dear Sir/ Madam Segregation and Monitoring of Collateral at Client Level – Extension of timeline 1. SEBI, vide circular no. SEBI/HO/MRD2_DCAP/CIR/2021/0598 dated July 20, 2021 issued certain provisions in the subject matter. The para 50 of the said circular reads as under: “ The provisions of Paragraphs 4 and 5 of this circular shall come into force with effect from October 01, 2021, and other provisions of this circular shall come into force with effect from December 01, 2021.” 2. In this regard, on the basis of representations received from stakeholders, it has been decided that provisions of the said circular (apart from provisions of Paragraphs 4 and 5) shall come into force with effect from February 28, 2022 instead of December 01, 2021. 3. This circular is being issued in exercise of powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992 , read with Section 10 of the Securities Contracts (Regulation) Act, 1956 to protect the interests of investors in securities and to promote the development of, and to regulate the securities market. Yours faithfully (Sudeep Mishra) General Manager Market Regulation Department Email: sudeepm@sebi.gov.in Page 1 of 1

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