Author: Contributor
-
Amendments to Clause 49
SEBI has on April 8, 2008 issued a press release and circular amending certain provisions of Clause 49 relating to corporate governance, and can be viewed here: http://www.sebi.gov.in/Index.jsp?contentDisp=WhatsNewScroll&FilePath=/press/2008/200895.html The composition of board of directors has been required to be as under:(a) where chairman is an executive chairman, atleast half the board has to comprise of…
-
Draft Report of the High Level Committee on Financial Sector Reforms
The Draft CFSR report is up on the Planning Commission website for public view and can be accessed from the following link: http://www.planningcommission.gov.in/reports/genrep/report_fr.htm A commentary which appeared in Business Standard is available at: http://www.business-standard.com/common/news_article.php?autono=319612&leftnm=4&subLeft=0&chkFlg=
-
Direct Market Access to Institutional Investors
SEBI yesterday issued a circular to the BSE and NSE with a view to granting direct market access to institutional clients through the brokers’ infrastructure. The rationale for the move is described in the circular as follows: “Direct Market Access (DMA) is a facility which allows brokers to offer clients direct access to the exchange…
-
Foreign Investment in the Small Scale Sector
The small scale sector has continued to receive protection from the Government when it comes to foreign investment, despite liberalisation pervading in the economy generally. It is time to alter that position, argues an editorial in today’s Financial Express: “Foreign direct investment (FDI) in small-scale industry (SSI)? It could be just what the sector needs.…
-
Derivatives in Commodities: Some Issues
This is a cross-post from the Law and Other Things Blog.The issue over commodities exchanges and trading of futures and options in respect commodities has been brought to the fore with the Left parties deciding not to support the Forward Contracts (Regulation) Amendment Bill. By way of background, commodities trading can occur in two ways.…
-
Accounting for Derivatives Exposure
A recent announcement by the Institute of Chartered Accounts of India (ICAI) has added to the imbroglio over derivatives. Accounting Standard 30 (AS30) that deals with accounting for derivatives was to become mandatory with effect from April 1, 2011. However, the ICAI in an emergent decision has called for an early adoption of AS30 for…
-
Improving Stock Sales Practices of Intermediaries
Stock intermediaries around the world, such as brokers and sub-brokers, who recommend and sell securities to clients, are regulated by the securities regulatory agencies of the countries where they operate as well as the stock exchanges of which they are members. However, the stock intermediation industry has been facing several problems over the years on…
-
Inadequacies of the FII Regime
One of our guest contributors, Somasekhar Sundaresan, has a well-argued column in the Business Standard in which he calls for an overhaul of the regulations that govern foreign institutional investors (FIIs) in India. Here it is: The regulatory regime for foreign institutional investors (FIIs) is the Indian capital market’s window to the outside world which…
