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Sebi proposes standard format on trading preference for different exchanges
Capital markets regulator Sebi on Wednesday prescribed a standard format for seeking the trading preference of clients for the same product in different exchanges.
Currently, clients need to give separate authorisation/letters in case they want to trade on different stock exchanges for a particular segment.
Based on the representations received and in consultation with stock exchanges, it has been decided to standardise the format of "Trading Preferences" to ensure that clients are permitted to access all the stock exchanges in which the stock brokers are registered for the same segment, the regulator said.
Under the new mechanism, all stock brokers are mandated to register their new clients on all the active stock exchanges after obtaining the trading preferences as per format.
For existing clients, the brokers are mandated to offer them access to all the active stock exchanges for the segments already opted by them, as a default mode, within three months and inform their clients