Chief Minister of Maharashtra, Shri Devendra Fadnavis, rang the NSE Bell virtually to mark the symbolic launch of the index the “NSE Nifty Waves Index” and unveiled the official brochure of the index today at the World Audio Visual & Entertainment Summit (WAVES) 2025, Mumbai alongside SuShri Sujata Saunik, Chief Secretary of Maharashtra.
The concern by regulators about some segments in the markets has translated into tightening of regulations, said Ashish Chauhan, the Managing Director and Chief Executive Officer of National Stock Exchange.
“Sebi is worried and we are also worried and that’s where the tightening is attempted and slowly as the situation evolves both SEBI and exchanges will continue to upgrade and evolve our policies,”Chauhan told businessline on the sidelines of the World Audio Visuals and Entertainment Summit.
Progressive tightening of regulations in some areas has created a pushback from intermediaries who have been complaining of increase in the costs of compliance. For instance rampantly oversubscribed SME IPOs have come under the radar of the regulator, while brokers are feeling the weight of increasing compliance requirements.
Risk assessment
Chauhan said that regulations are framed on the basis of risk assessment. He pointed out that over the years Sebi had tightened many norms and each time there have been complaints but more investors were coming in too because trust has been created. “It is a gradual process where if SEBI feels there are stress areas building up then certainly tightening those areas reduces risk in the system and also brings in more participants.”
Recently the NSE issued regulations tightening norms for SME companies shifting from the SME platform to the mainboard.
When entities take public money their responsibility increases manifold, he said.
“The oversight is only in terms of giving out information…. there should not be any hesitation in giving out adequate information so that people who are putting in their hard earned money into shares of companies are able to get that information for their investment decisions.”
On the recent initiatives by SEBI to introduce ease of doing business Chauhan said that streamlining of regulations worked both ways. “Some things get tightened and some things get relaxed, ….. depending on whatever SEBI decides we will have to ensure that we adhere to it and we facilitate that with our members.”
Published on May 2, 2025
