| The Securities and Exchange Board of India (Sebi) has tightened margin and collateral requirements for commodities trading, to align these with practices in the securities market. Now the regulator for commodities' derivatives, too, a circular it issued on Thursday prescribes limits for various assets put as collateral with an exchange. The new norms shall be implemented from January 1.
The limit for cash or its equivalents has been fixed at 50 per cent and for commodity-specific limits, too. The limit for agri commodities to be accepted as liquid asset collateral is 40 per cent...............................................Full Article: Source
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