The Securities and Exchange Board of India (SEBI) on November 11, 2024, issued a circular regarding Trading supported by a Blocked Amount in the Secondary Market.
The following has been stated: -
•Starting February 01, 2025, Qualified Stock Brokers (QSBs) must offer either a UPI block mechanism or a 3-in-1 trading account facility for trading in the secondary market.
•The 3-in-1 account integrates trading, demat, and bank accounts, blocking funds and securities as needed. Clients can choose between the existing trading model or the new blocked amount facility.
•Relevant stock exchanges and clearing corporations must update their rules to implement this change.
The detailed circular is given in the document below.
[Circular No. SEBI/HO/MRD-PoD2/CIR/P/2024/153]
