 "Securities and Exchange Board of India, Sebi")
The Futures Industry Association (FIA), a global body representing derivatives market participants, has suggested modifications to the Securities and Exchange Board of India’s (Sebi) proposal to introduce a closing auction session (CAS) in the equity cash market.
The recommendations aim to ensure consistency and operational efficiency in determining closing prices.
According to FIA, a CAS could help deepen liquidity in the cash market, improve transparency in settlement price discovery, and enable passive funds to rebalance more efficiently by reducing tracking error. However, it flagged potential challenges if the framework is adopted without harmonisation between the two stock exchanges, which could
