Finance
EnglishRBI's new rules could shake up trading firms big time
The Reserve Bank of India just dropped some new rules that could shake up trading firms! Starting April 1, banks can’t lend for proprietary trading anymore, which might force smaller firms to pack their bags and move offshore. With profits potentially slashed in half and trading volumes taking a hit, it looks like the equity derivatives market is getting a major makeover!
few days ago | Reuters
Quick rundown
1.RBI's new rules could halve profit margins for trading firms.
2.Proprietary trading in India faces a big shake-up.
3.Smaller trading firms might struggle to survive.
4.India's derivatives market is twice the size of its cash market.
5.Foreign firms may move operations offshore for cheaper financing.
