The Jane Street controversy has prompted the Securities and Exchange Board of India (Sebi) and stock exchanges to intensify scrutiny of the trading strategies employed by global high-frequency trading (HFT) and quantitative (quant) firms.
The case involving US trading firm Jane Street, where suspicious trading was flagged in August 2024, has exposed vulnerabilities in the existing oversight mechanisms. After several months of investigation, Sebi was able to issue a ₹4,840 crore impounding order against the New York-based firm last week, highlighting the complexity of monitoring sophisticated trading strategies.
Sources indicate that no immediate violations of the scale of Jane Street