Business

Investors Will Benefit From The New System Of Sebi

Investors will benefit from this new system of Sebi, Now money will come soon after selling shares, know-how.

If you invest in the share market, then the good news is coming. Market regulator Sebi has made such an arrangement, in which the amount will come to your bank account only a day after selling the shares.

In fact, in a circular issued on Tuesday, SEBI had allowed the stock markets to adopt the T + 1 settlement arrangement on an alternate basis.

At present, SEBI has implemented this arrangement on an alternate basis.

The new system will come into effect from January 1, 2022. T+1 means that the transaction has to be settled within one day of the actual transaction taking place.

Presently, deals on Indian stock exchanges are settled within two working days after the transaction, which is called T+2. Stock traders and investors are expected to benefit greatly from the T+One settlement system.

Stock market experts on Thursday said market regulator Sebi’s decision to introduce an alternative T+1 (deal and one-day) settlement mechanism could help reduce margin requirement for clients and thereby reduce retail investment in equity markets.

Harshad Chetanwala, co-founder, MyWealthGrow.com, said it is too early to comment on the pros and cons of the move, as the markets may face some operational issues.

There are many factors and institutions involved in completing the settlement cycle, he added. He said this exercise will help in evaluating whether T+1 can be effective or the T+2 settlement cycle is good.

Jaideep Arora, CEO, Sharekhan, BNP Paribas said that the new T+1 settlement rule is a good move by the regulator as it can help reduce margin requirements for clients and increase retail investment in equity markets.

Prateek Singh, Founder, and CEO of, LearnApp.com said that T+1 is a welcome move for all participants in the stock market.

He said that the stock exchanges have the option to opt for these arrangements, but the question is if one market opts for T+1 and the other doesn’t, it may lead to some confusion.

Amit Kaul

Recent Posts

Homemade Tomato Soup Recipe: Tastier Than Restaurant Style!

Homemade Tomato Soup Recipe: Tastier Than Restaurant-Style! Homemade Tomato Soup Recipe: Enjoy the warmth of…

3 days ago

Refresh Your Summer With Watermelon Panna: A Special Recipe To Beat The Heat

Refresh Your Summer with Watermelon Panna: A Special Recipe to Beat the Heat. Refresh Your…

4 days ago

Be a Giver in Relationships: Building Lasting Bonds Through Unconditional Love

Be a Giver in Relationships: Building Lasting Bonds Through Unconditional Love Be a Giver in…

5 days ago

6 Protein-Rich Foods for Teenagers: Tasty and Healthy Options for Daily Growth

6 Protein-Rich Foods for Teenagers: Tasty and Healthy Options for Daily Growth Discover 6 delicious…

6 days ago

Tips for Longevity: 4 Expert-Recommended Habits to Live a 100-Year-Long Life

Tips for Longevity: 4 Expert-Recommended Habits to Live a 100-Year-Long Life Tips for Longevity: Want…

1 week ago

Top 5 Skiing Destinations in India for an Unforgettable Snow Adventure

Top 5 Skiing Destinations in India for an Unforgettable Snow Adventure Top 5 Skiing Destinations…

1 week ago