The Securities and Exchange Board of India's recent rule mandating uniform charges for market infrastructure institutions may affect the revenue streams of brokerage firms, potentially forcing them to reconsider their zero-brokerage structure or increase fees for F&O trades. Reacting to the circular which was released after the market close on Monday, shares of broking firms such as Angel One, Geojit Financial Services, Emkay Global, Motilal Oswal Financial Services, and IIFL Securities saw significant declines on Tuesday. With exchanges charging transaction fees based on brokers' overall turnover and the difference between this fee and what brokers charge customers being a rebate, the new rules could lead to changes in the pricing structure of brokerage firms.
In an effort to increase retail investor participation in the debt market, the Securities & Exchange Board of India (SEBI) has reduced the face value of corporate bonds from Rs 1 lakh to ₹10,000. This move has been praised by Zerodha co-founder Nithin Kamath, who believes it will make bonds more accessible to small investors. Additionally, Sebi has announced further changes in rules for mutual funds, including the option for joint holders to nominate their fund account and allowing a single fund manager to oversee both commodities and foreign investments. These measures are aimed at promoting ease of doing business and curbing fraudulent trades.