Sebi offers settlement for brokers facing action in algo trading
The Securities and Exchange Board of India (SEBI) has offered a settlement scheme for brokers who were undergoing regulatory action for being associated with algo trading platforms.
The scheme is going to apply to brokers dealing with proceedings before the regulator and the Securities Appellate Tribunal. The Sebi move is to provide a route to the brokers to conclude these matters in an expeditious manner. The scheme which commences on July 16 will conclude on September 16, Sebi said in a statement
This scheme aims to provide a settlement opportunity to stock brokers linked with specific algo platforms against whom proceedings have already been initiated by Sebi and are currently pending before any authority or forum like the Adjudicating Officer, Securities Appellate Tribunal or the courts.
The concerned stock brokers may settle the proceedings and seek an expedited conclusion to their cases by availing of the benefits of this scheme. However, Sebi clarified that actions initiated against stock brokers, who choose not to avail this settlement opportunity, will continue in accordance with the law.
Over 100 brokers earlier reportedly received Sebi warnings for allowing APIs (application programming interface) of an algo provider, which allegedly provided assured returns.
Earlier, trading applications provided by several brokers allowed their clients to use API — a software that allows two applications to communicate with each other. After they are installed, APIs get the authorisation to perform a host of functions in the trading account, such as placing buy and sell orders or cancelling orders.
Sebi issued a circular in 2022 prohibiting stockbrokers from any association with platforms offering assured returns.
Market regulator Sebi is conducting an extensive investigation into Jane Street's derivatives trading activity over the past three years, examining whether the global quantitative trading giant attempted to manipulate India's benchmark stock indices, according to a Reuters report.
The probe — said to be SEBI's most far-reaching into an international trading firm — comes amid the regulator's broader efforts to temper the heightened activity in India's booming derivatives market.
The investigation is focused on Jane Street, its Singapore-based affiliate Jane Street Singapore Pte, and JSI Investments, its Indian unit. SEBI is reviewing the firms' algorithmic trading strategies, particularly in relation to the NSE's Nifty 50 index and its banking sector counterpart.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Standard
7 minutes ago
- Business Standard
Nifty above 25,100 level; media shares in demand
The key equity benchmarks traded with minor gains in morning trade. The Nifty traded above the 25,100 level. Media shares extended gains for the second consecutive session. At 10:30 IST, the barometer index, the S&P BSE Sensex, added 63.86 points or 0.08% to 82,509.07. The Nifty 50 index rose 41.90 points or 0.17% to 25,145.10. The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.31% and the S&P BSE Small-Cap index added 0.37%. The market breadth was strong. On the BSE, 2,283 shares rose and 1,314 shares fell. A total of 194 shares were unchanged. The Nifty Media index rose 1.66% to 1,741.40. The index rose 2.09% in the past two consecutive trading sessions. Zee Entertainment Enterprises (up 3.36%), Network 18 Media & Investments (up 3.07%), Sun TV Network (up 2.05%), Hathway Cable & Datacom (up 0.95%), Tips Music (up 0.91%), Nazara Technologies (up 0.51%), D B Corp (up 0.39%), Saregama India (up 0.29%), and PVR Inox (up 0.29%) advanced. Stocks in Spotlight: AstraZeneca Pharma India shed 0.50%. The company said its managing director (MD), Sanjeev Kumar Panchal, has resigned from his position with effect from the close of business on 30 June 2025. Oberoi Realty rose 1.06%. The company said that Pankaj Gupta, chief executive officer (CEO) of commercial real estate and senior management personnel, has resigned from his position. RITES rose 0.50%. The company said that it has received a letter of acceptance (LoA) for a coastal road project from the Ministry of Public Works, the Co-operative Republic of Guyana, worth $2.908 million.
Mint
12 minutes ago
- Mint
Why Chinas auto, tech giants threaten Tesla's self-driving future
Key assisted driving equipment costs 20-40% lower in China: study BYD, others offer advanced driver-assistance as standard feature Tesla charges 64,000 yuan for FSD in China BYD's scale seen as advantage in 'training' assisted driving system AUSTIN, Texas June 10 - Chinese electric-vehicle makers led by BYD beat Tesla in the competition to produce affordable electric vehicles. Now, many of those same fierce competitors are pulling into the passing lane in the global race to produce self-driving cars. BYD shook up China's smart-EV industry earlier this year by offering its 'God's Eye' driver-assistance package for free, undercutting the technology Tesla sells for nearly $9,000 in China. 'With God's Eye, Tesla's strategy starts to fall apart,' said Shenzhen-based BYD investor Taylor Ogan, an American who has owned several Teslas and driven BYD cars with God's Eye, which he called more capable than Tesla's 'Full Self-Driving' . It's not just BYD. Other Chinese auto and tech companies are offering affordable EVs with FSD-like technology for a relative pittance. China's Leapmotor and Xpeng, for instance, offer systems capable of highway and urban driving in $20,000 vehicles. A slew of Chinese firms are chasing the same technology, an industry push backed by China's government. BYD's assisted-driving hardware costs are far lower than Tesla's, according to analyses performed for Reuters by companies that dismantle and analyze vehicles for automakers. The comparisons, which have not been previously reported, show that BYD's costs to procure components and build a system with radar and lidar are about the same as Tesla's FSD, which doesn't have such sensors. That undercuts Tesla's unusual technological approach, which aims to save costs by nixing such sensors and relying solely on cameras and artificial intelligence. The rising competition from Chinese smart-EV players is among the chief problems confronting Tesla CEO Elon Musk after his rocky tenure as a Trump administration advisor as he refocuses on his business empire - as Tesla vehicle sales are tanking globally. The stakes are made higher by a moment-of-truth challenge this month in Tesla's home base of Austin, Texas, where it plans to launch a robotaxi trial with 10 or 20 vehicles after a decade of Musk's unfulfilled promises to deliver self-driving Teslas. Tesla did not respond when reached for comment about its Chinese competitors. Previously, Musk has described Chinese car companies as the most competitive in the world. Chinese competition was one factor driving Tesla's strategic pivot away from mass-market EVs last year, when Reuters reported it had killed plans to build an all-new EV expected to cost $25,000. Musk has since staked Tesla's future instead on self-driving robotaxis, the hopes for which now underpin the vast majority of the automaker's stock-market value of roughly $1 trillion. Now Tesla faces the same stiff competition on vehicle autonomy from many of the same Chinese automakers who undercut its affordable-EV plans. Adding to the challenge are tech firms including Chinese smartphone giant Huawei, which supplies autonomous-driving technology to major Chinese automakers. Short of full autonomy, today's driver-assistance systems offer a critical competitive edge in China, the world's largest car market, where Tesla sales are falling amid a protracted price war among scores of homegrown EV brands. Tesla is further handicapped by China's regulations preventing it from using data collected by Tesla cars in China to train the artificial intelligence underpinning FSD. Tesla has been negotiating with Chinese officials, so far without success, to get permission to transfer such data back to the United States for analysis. Tesla's competitors in China do benefit from subsidies and other forms of policy support from Beijing for advanced assisted driving technology. Their advantages also stem from another consequential factor: cut-throat smart-EV competition that has characterized their industry over the past decade. The resulting EV boom created economies of scale and the industry's tendency to forgo some profit margins to expand new technologies' market penetration quickly, leading to lower manufacturing costs. BYD investor Ogan, of Shenzhen-based Snow Bull Capital, has a front-row seat to China's autonomous-tech battleground. He recently drove several BYD models equipped with God's Eye, he said, and didn't have to take over driving in any of them while traveling the congested streets of Shenzhen, a bustling southern China megalopolis of 18 million people. Another notable smart-EV player in China is Huawei, experts say. Huawei lends its technology and branding to a half dozen automakers including heavyweights Chery, SAIC and Changan, and has lower-profile partnerships with more than a dozen other carmakers, Huawei representatives said. Reuters journalists rode in an Aito M9 — a luxury electric SUV from Seres with Huawei driver-assistance technology — as it navigated Shenzhen roadways in April. With a driver's hands off the wheel, the vehicle exited a highway seamlessly into a congested urban zone, where the M9 proceeded cautiously and slowed to a crawl as a construction worker appeared like he might walk into the roadway. At one point the vehicle turned right and slowly drifted left to avoid two men unloading boxes from a parked truck. The vehicle then parallel parked itself at Huawei's Shenzhen headquarters. Huawei was among several Chinese companies, including automakers Zeekr, Changan and Xpeng, that touted progress towards fully-autonomous cars at April's Shanghai auto show, even as Beijing announced a new marketing crackdown on terms such as 'smart' and 'intelligent' driving in the wake of a deadly crash in a Xiaomi vehicle involving driver-assistance technology. Huawei said it's ready to undergo a new validation regime being developed by Chinese regulators to certify so-called Level 3 driving systems, meaning they are capable enough to allow drivers to look away unless notified by the system to take over. Zeekr, a luxury brand of China auto giant Geely, also plans to soon sell cars with Level 3 systems. Tesla has yet to release such an "unsupervised" version of FSD because its technology needs more training to operate without a driver's hands on the wheel and eyes on the road. Tesla plans to launch self-driving robotaxis in Austin this month. Little is known about its plans. The company has said it aims to initially deploy between 10 and 20 fare-collecting driverless robotaxis in restricted geographic areas of the city, which Tesla has not publicly identified. Chinese EV makers are moving quickly to develop driver-assistance systems in a market where car-buyers are demanding them at a faster pace than in other regions, analysts say. Their ability to do so at lower costs poses the biggest threat to Tesla's new autonomy-based business model. BYD buyers can get an FSD-comparable version of God's Eye as a standard feature in cars priced at about $30,000. The cheapest FSD-equipped Tesla in China is a Model 3 selling for about $41,500. According to an analysis by A2MAC1, a Paris-based tear-down firm that benchmarks components, the mid-level God's Eye version most comparable to Tesla's FSD runs on an Nvidia computing chip with data collected through 12 cameras, five radars, 12 ultrasonic sensors, and one lidar sensor, at a cost of $2,105. That compares to $2,360 for Tesla's FSD, which uses cameras without sensors and two AI chips, the firm estimates. Cameras, radar and ultrasonic sensors are 40% cheaper in China than comparable devices in Europe and the United States, A2MAC1 estimates. Lidar sensors cost about 20% less, the firm says. Sensor costs have fallen because China's EV boom created economies of scale, said A2MAC1 engineer Elena Zhelondz. The fierce competition also pushed carmakers and suppliers to accept lower profits on driver-assistance equipment, she said. BYD's 22% gross margin will likely fall as it gives away God's Eye but it will benefit from a vehicle-sales boost, said Chris McNally, head of global automotive and mobility research for advisory firm Evercore. MORE CARS, MORE MILES, BETTER AI Falling behind the Chinese brands on driver-assistance technology would compound Tesla's challenges in China, where it's already losing market share to rivals including BYD, which sells an entry-level EV for less than $10,000. The growing scale of BYD and others could also provide a technological advantage: Racking up more miles on China roads helps train the AI technology needed to perfect automated-driving systems. BYD has a 'clear and ongoing market-share driving advantage' over Tesla in gathering such on-road data to refine God's Eye, Evercore's McNally said, adding that advantage might only increase as offering God's Eye for free helps sell more BYD vehicles. BYD's scale also helps lower costs by providing uncommon leverage over suppliers. In November, a BYD executive in charge of passenger-vehicle operations wrote to suppliers telling them that the automaker sold 4.2 million vehicles last year because of 'technical innovation, economies of scale, and a low-cost supply chain.' The executive noted the new year would likely bring more growth, but also fiercer competition. Without specifically mentioning God's Eye, he ended the letter by asking the suppliers for an across-the-board 10% price cut on all parts and systems starting on January 1, calling the new year a final 'knockout round.' This article was generated from an automated news agency feed without modifications to text.
Indian Express
15 minutes ago
- Indian Express
‘My true factual story is being heard': Fugitive Vijay Mallya overwhelmed as podcast hits 20 million views in just 5 days
Five days after fugitive liquor baron Vijay Mallya, who has been criticised for alleged fraud and loan defaults, created a buzz through a video podcast with Raj Shamani, the founder of the now-defunct Kingfisher Airlines, on Tuesday, expressed gratitude for the 'overwhelming' response to the video. The podcast aired on June 5 had garnered over 20 million views. 'To say that I am humbled and overwhelmed is well short of what I truly feel. A big heartfelt thank you to all those who took the time to watch my 4-hour-plus podcast with @rajshamani 20 million views on YouTube alone in 4 days, and god knows how many more reposts on Instagram and Facebook fills my heart with joy that my true factual story is being heard. May god bless you all,' he wrote on X. See the post here: To say that I am humbled and overwhelmed is well short of what I truly feel. A big heartfelt thank you to all those who took the time to watch my 4 hour plus podcast with @rajshamani 20 million views on YouTube alone in 4 days and god knows how many more reposts on Instagram and… — Vijay Mallya (@TheVijayMallya) June 9, 2025 Mallya, who has been living in the United Kingdom since March 2016, had said in the podcast that he would 'seriously consider' returning to India if he is assured of a fair trial and a dignified existence in his home country. With nearly a million views, Mallya's latest post quickly gained traction and prompted mixed reactions. 'You deserve justice. Let's see when GOI support you. Good luck,' a user wrote. 'If you are really innocent a toy claim, hire the best lawyer, approach SC, and get a clean chit. You can then come back proudly with your head held high,' another user commented. 'You will always be remembered as a clown. That podcast had zero impact on mature people, only underage RCB fans might have believed it,' a third user reacted. A key accused in a major bank loan default case involving over Rs 9,000 crore linked to the Kingfisher Airlines, Mallya fled from India in 2016. He faces serious allegations of cheating, criminal conspiracy, money laundering, and the misuse of loan funds provided by a union of Indian banks, led by the State Bank of India (SBI). His companies are under probe by multiple agencies in India, including the Enforcement Directorate (ED), Central Bureau of Investigation (CBI), Serious Fraud Investigation Office (SFIO), and the Securities and Exchange Board of India (SEBI).
