Mode of settlement for trades executed on the Request for Quote (RFQ) platform
Summary
SEBI clarifies that payment mechanisms provided by RBI-authorised banks or payment aggregators may be used for settling trades on the Request for Quote (RFQ) platform in addition to existing methods. Stock Exchanges and Clearing Corporations are directed to establish necessary infrastructure, notify market participants, and amend their bye-laws to implement this change uniformly. This circular is issued under Section 11(1) of the SEBI Act, 1992, and takes immediate effect.
Text
payment mechanisms provided by banks/ payment aggregators authorised by Reserve Bank of India, from time to time, may be used for settlement of trades executed on the RFQ platform.
put in place necessary infrastructure for this purpose.
bring the provisions of this circular to the notice of the Stock Brokers and also disseminate the same on their websites;
make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the above directions in coordination with one another to achieve uniformity in approach and communicate to SEBI.
This circular shall come into force with immediate effect.
The Circular is issued in exercise of the powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992 read with Regulation 55 (1) of the SEBI (Issue and Listing of Non-convertible Securities) Regulations, 2021, Regulation 29 of the SEBI (Issue and Listing of Municipal Debt Securities) Regulations, 2015 and Regulation 48 of the SEBI (Issue and Listing of Securitised Debt Instruments and Security Receipts) Regulations, 2008, to protect the interest of investors in securities and to promote the development of, and to regulate the securities market.
Source: SecMarx — Mode of settlement for trades executed on the Request for Quote (RFQ) platform. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.