SEBI New Rule: Market regulator SEBI has made the rules related to block deals more stringent. Under this, the minimum order size for block deals has been increased from Rs 10 crore to Rs 25 crore. SEBI has allowed increasing the price range for non-derivative shares to 3 percent, while futures and options shares will be retained within the existing range of 1 percent. According to CNBC report, SEBI has adjusted the floor price for block deals, which can go up or down by 3 percent from the previous day’s closing.

Why was the size of the block deal increased?

This was announced through a circular on Wednesday. SEBI believes that as the market size increases, the minimum size of block deals should also increase. It also has many benefits such as it will prevent activities like speculation, increase transparency in the market, reduce the possibility of price manipulation through big deals, through this it will encourage big institutional investors or high priced trades, which will increase liquidity in the market. Let us tell you that lump sum buying and selling of shares in large quantities is called black deal.

Two windows for block deal

SEBI has kept two windows for block deals. The first window is from 8:45 am to 9:00 am, in which the floor price will be set at the previous day’s closing price. The second window is from 2:05 pm to 2:20 pm, in which the trading volume weighted average price (VWAP) will be used in the cash segment from 1:45 pm to 2:00 pm. Stock exchanges will share VWAP information between 2:00 pm and 2:05 pm.

Another big decision of SEBI

Keeping in mind the interest of investors, SEBI has also proposed to fix the limit on brokerage and transaction fees charged by mutual fund companies. According to the new rules of SEBI, mutual fund companies will no longer be able to charge brokerage or transaction fees from investors other than the total expense ratio.

Mutual fund companies object to the decision

This will reduce the burden on investors to a great extent. However, mutual fund companies are unhappy with this decision of SEBI considering the possibility of impact on profitability. Let us tell you that Total Expense Ratio is the amount which is charged by fund houses from investors for fund management, operational cost, research etc. SEBI has reduced its limit for cash market from 0.12 percent to 0.2 percent. Whereas for the futures section it has been reduced from 0.05 percent to 0.01 percent.

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SEBI new rules 2025: Indian stock market investors consider investing in mutual funds as a better investment that gives good returns in the long run. Many people invest in it through SIP. If you are also thinking of investing in mutual funds, then this news is for you.

The Securities and Exchange Board of India (SEBI) is planning to change the rules for opening accounts and investing in mutual funds. Under this scheme, investment will be safer and easier than before. Under the new rules, your KYC must be completely verified to open an account in a mutual fund. Otherwise you will not be able to open a mutual fund account.

What are the new rules of SEBI?

According to the information given by SEBI, now account in mutual fund will be opened only when all the KYC documents of the investor are properly checked and verified. These documents will be sent to the KYC Registration Agency (KRA), which will do their final verification. That is, now no person will be able to invest without completing KYC.

The investor will continue to receive all the information through email and mobile so that everything remains clear. Also, Asset Management Companies (AMCs) and KRAs will have to update their systems according to the new rules. SEBI has sought suggestions from people on this proposal. People can send their opinions to SEBI till 14th November.

What will be the change?

With the implementation of new rules, both investing and opening an account in mutual funds will become more transparent than before. Losses caused to investors due to incorrect and incomplete information will also be prevented. Also, work related to investors will become easier than before for asset management companies. Due to incomplete and incorrect information, investors often face a lot of trouble in the claim process. There is every possibility of change in this due to new rules.

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