Sebi directs MIIs for uniform charges
The regulator asked stock exchanges, clearing corporations and depositories constituted as MIIs to ensure that any charges recovered are ‘True to Label’
New Delhi: Markets regulator Sebi has directed stock exchanges and other market infrastructure institutions (MIIs) to implement a uniform and equal charge structure for all members rather than varying charges based on their volume or activity. The regulator instructed stock exchanges, clearing corporations, and depositories constituted as MIIs to ensure that any charges recovered from the end client are ‘True to Label’.
It means that if a certain charge is levied on the end client by members -- stock brokers, depository participants, clearing members -- it should be ensured by MIIs that the same amount is received by them.
“To begin with, the new charge structure designed by MIIs should give due consideration to the existing per unit charges realised by MIIs so that the end clients are benefited from the reduction of charges,” Sebi said in a circular. The regulator has asked MIIs to comply with these additional principles while designing the processes for charges levied on their members, which are to be recovered from the end clients.