SEBI cautions investors against dealing with unregulated algo-trading platforms.
It has come to the notice of SEBI that many unregulated platforms are offering investors Algorithmic Trading services/facilities to automate their trades Strategies are being marketed with “claims” of huge return on investment along with “ratings” assigned to the strategies and claims that similar returns would be earned in the future. Investors are cautioned that these platforms are unregulated and thus there is no investor grievance redressal mechanism covering their activities.
SEBI issues circular on Modification in Cyber Security and Cyber Resilience Framework of Mutual Funds/ Asset Management Companies (AMCs).
Mutual Funds/ AMCs shall carry out periodic Vulnerability Assessment and Penetration Testing (VAPT), inter-alia, including critical assets and infrastructure components like servers, networking systems, security devices, load balancers, other IT systems pertaining to the activities done as a role of Mutual Funds/ AMCs, etc., in order to detect security vulnerabilities in the IT environment and in-depth evaluation of the security posture of the system through simulations of actual attacks on its systems and networks.
SEBI modifies cyber security and cyber resilience framework for stock brokers/depository participants.
The critical assets shall include business critical systems, internet facing applications /systems, systems that contain sensitive data, sensitive personal data, sensitive financial data, Personally Identifiable Information (PII) data, etc. All the ancillary systems used for accessing/communicating with critical systems either for operations or maintenance shall also be classified as critical system.
Consultation paper on proposed IFSCA (Finance Company) (Amendment) Regulations, 2022
FC/FU intending to undertake any of the non-core activity (ies) in IFSC, shall be subject to the provisions of the respective Framework / Guidelines as specified by the Authority for that particular activity. Also, an entity carrying out multiple permissible activities under the FC regulations will have to maintain the higher of the minimum capital / owned funds / net worth prescribed for each individual activity, subject to the compliance with the respective Frameworks / Regulations governing such activities.
SEBI strengthens Investor Grievance Redressal Mechanism.
A complainant/member, who is not satisfied with the recommendation of the IGRC shall avail the arbitration mechanism of the Stock Exchange for settlement of complaints within three months from the date of IGRC recommendation.
SEBI notifies procedure for seeking prior approval for change in control of Portfolio Managers.
According to the new procedure, online application shall be made by Portfolio Manager to SEBI for prior approval through the SEBI Intermediary Portal (https://siportal.sebi.gov.in). The prior approval granted by SEBI shall be valid for a period of six months from the date of such approval.
NSE introduces new module to update NSEIL CDS instruments on ENIT.
The details of the existing instruments given in CD segment shall be available to the member on the ENIT portal. Therefore members are requested to submit all requests for addition, renewal, substitution of instruments given toward NSEIL IFSD in CD segment through the said module only.
SEBI extends facility for conducting AGM of unitholders of REITs and InvITs through VC or OAVM.
SEBI has decided to extend the facility to conduct annual meetings of unitholders in terms of Regulation 22(3) of SEBI (REIT) Regulations, 2014 and Regulation 22(3)(a) of SEBI (InvIT) Regulations, 2014 and meetings other than annual meeting, through VC or OAVM till December 31, 2022.
SEBI publishes SOP for dispute resolution under the Stock Exchange arbitration mechanism.
The Arbitration Mechanism shall be initiated post exhausting all actions for resolution of complaints including those received through SCORES Portal. The Arbitration reference shall be filed with the Stock Exchange where the initial complaint has been addressed.
SEBI amends cyber security and cyber resilience framework of KYC Registration Agencies (KRAs).
As per the amendment, KRAs shall identify and classify critical assets based on their sensitivity and criticality for business operations, services and data management. KRAs shall maintain up-to-date inventory of its hardware and systems, software and information assets (internal and external), details of its network resources, connections to its network and data flows
