#adigitalblogger #sebi #stockmarketindia
SEBI Takes Market Into Its Hands, literally:
(Look At This Graph)Last two years Indian stock market has seen a lot of rollercoaster trajectory. When the pandemic hit, massive sell-offs were witnessed which even led to a minor market crash in 2020. And immediately afterwards, a sharp surge in buying of stocks can be seen.
According to SEBI, most of this was due to herd mentality and not understanding of fundamentals. And such a behavior on part of investors and traders puts the whole market at a big risk and prone to manipulations from evil forces.
Although, this is true for every other stock market in the world, but Sebi has decided to act upon this, unlike other global regulators. And SEBI wants to take things into its own hands as it feels that "other" market participants
have their own business interests and hence they cannot be relied upon.
According to sources SEBI has planned to s that investors get some detailed datasets that will reveal future risk in the market. Technically called "risk factor disclosures", these disclosures can focus on market trends, including surges and collapses, investor behaviour over a period of time, profits being made by them or the losses suffered by them, the market segments that have been profitable or loss-making, the areas of interest.
And for this SEBI will use technology like Big Data, AI, Data Analytics etc.
It looks like SEBI has understood that "stock market is subject to market risk" is a statement/excuse that is over used and does not work anymore.
