CA Online

New framework  for algo trading on cards Sebi will soon issue a consultation paper seeking market feed back The Securities and Exchange Board of India (Sebi), in consultation with the finance ministry, is expected to reissue fresh guidelines on high frequency trading (HFT), popularly known as algorithm trading, after taking feedback from market participants. According to sources, the earlier proposal to tighten the algo trading rules, which had been put out by Sebi in August 2016, has been dropped by the ministry.The market´s contention was that the rules were framed without taking all aspects into consideration, were not in line with global practices, did not have sufficient checks and balances, and would have had an adverse impact on liquidity. To review the proposed norms, Sebi constituted in August last year a committee on fair market conduct to suggest measures to improve surveillance of the market and strengthen the rules for algo trades.“We have received several pr...

Lok Sabha sends national medical commission bill to parliamentary committee The Lok Sabha sent the National Medical Commission Bill to the Parliamentary standing committee on health for consideration and the panel's report is expected before the budget session.The bill, which is aimed at development and regulation of all aspects related to medical education, medical profession and medical institutions, will replace the much-criticised Medical Council of India with a new commission to ensure transparency and reform. The National Medical Commission Bill, 2017, was introduced in the Lok Sabha on December 29 and was expected to be debated on Tuesday.It spurred a nationwide protest by a doctor's body that led to several private hospitals shutting down their outpatient departments. The Indian Medical Association, a lobby group of 3 lakh doctors, called off the strike after the Lok Sabha referred the bill to the standing committee.After considering the bill and getting comment...

Sebi issues fresh consultation papers on investment advisers The Securities and Exchange Board of India (Sebi) on Tuesday proposed new norms for investment advisers, under which they will haveto segregate their advisory and product distribution businesses. However, mutual fund distributors, while distributing the investment product can explainits features to the client. The new proposals would help prevent the conflict of interest between´advising´and´selling´of investment products by the same entity or person."There should be clear segregation between the two activities of the entity providing investment advice and distribution of the investment products/ execution of investment transactions," Sebi said in a discussion paper. The Sebi has sought public comments on the fresh proposals till January23 and the final regulation will be put in place after taking into consideration, views of all the stakeholders. The Business Standard, New Delhi, 03rd January 2018

2017 produced largely satisfactory foreign policy outcomes for India We should look at our foreign policy options realistically and judge our successes and failures keeping in mind that we do not control the policies of other sovereign countries who may view their interests differently from ours, and that even small countries can be defiant. We cannot also put a limit on the presence of outside powers in our neighbourhood. Shaping our external environment as we like for realising our goals and priorities is not possible In the light of these caveats and limitations, our foreign policy in 2017 was largely successful in promoting our interests in an uncertain international environment. We have had to cope with the reality of US foreign policy becoming unpredictable and inconsistent under Trump. We have had to deal with China's growing ambitions in Asia and the expansion of its influence in our neighbourhood at our expense. We have had to cope with the reality of US foreign po...

Government to rope in banks, financial institutions to push Swachh Bharat The government is looking at roping in state-run banks and financial institutions to give a push to its Swachh Bharat campaign. The finance ministry will prod lenders to increase credit towards industries, especially small and medium enterprises, involved in sanitation products."DFS (department of financial services) & MDWS (ministry of drinking water and sanitation) join hands to increase rural sanitation credit," financial services secretary Rajiv Kumar stated in a tweet. The department held a video conference with all public sector banks and financial institutions to step up lending for rural sanitation under priority sector lending to households, self-help groups, and small and medium enterprises.State-run banks and financial institutions have been asked to use their corporate social responsibility (CSR) funds towards Swachh Bharat in the next financial year. The finance ministry has also ...

RBI bonds Scheme not closed :Finance Minister The Finance Ministry today said RBI Bonds Scheme has not been closed but the interest rate on such papers lowered to 7.75 per cent. Yesterday, the government notified that the 8 per cent GoI Savings (Taxable) Bonds, 2003 “shall cease for subscription with effect from the close of business on Tuesday, January 2, 2018.” “The 8 per cent Savings Bonds Scheme, also known as RBI Bonds Scheme, is not being closed. 8 per cent Scheme is being replaced by 7.75 per cent Savings Bonds Scheme,” Economic Affairs Secretary SC Garg said in a tweet. These taxable bonds are meant for individual other than Non-Resident Indians with no maximum limit for investment. In 2003, the government came out with bonds offering 8 per cent interest to encourage retail investors to invest. The bond was open for subscription from April 21, 2003, and had a fixed tenure of six years. There was no upper limit for investment. The Mint, New Delhi, 03rd January 2018

IBBI amends rules, drops need to disclose liquidation value of asset The Insolvency and Bankruptcy Board of India (IBBI) has done away with the requirement for disclosing the liquidation value of an asset undergoing resolution—a move that is expected to help better price discovery for stressed assets under the bankruptcy framework. IBBI amended its regulations on 31 December and the changes took effect from Monday. The regulator also said that a resolution plan needs to identify the specific sources of funds that will be used to pay the liquidation value to creditors who don’t agree to the plan. “Since the liquidation value was previously included in the information memorandum, prospective bidders who had access to the same were providing bids which were closer to the liquidation value rather than a value (based) on a going concern basis. This amendment was necessary and will help in optimal price discovery for assets and reduce haircuts for lenders,” said Aashit Shah, a partne...