Sebi shuts FII-to-FII trades; huge demand seen for HDFC Bank stock on Jun 1

Facility was extensively used in case of stocks such as HDFC Bank, where FII investment limits are often fully utilized

Market regulator the Securities and Exchange board of India (Sebi) has scrapped the special window meant for inter-se trading between foreign institutional investors (FIIs).

The move would hurt foreign institutional investors (FIIs) who used to avail this window to deal in stocks such as HDFC Bank, where FII investment limits are often fully utilized.

Also known as ‘6 lac series’, the facility allowed shares change hands among FIIs. In some cases, this window generated more volumes than the main trading window. For instance, in the past three months the trading volumes in ‘6 lac series’ of HDFC Bank is 42