Sebi reduces brokers’ fee by 25 per cent

Jaipur, Jan 14 (IANS) The Securities and Exchange Board of India (Sebi) on Saturday announced reduction of 25 per cent in the fee payable by brokers and also decided to amend regulations to enable the market participants to make payments to the regulator through digital mode.

"Taking into consideration the projected income and expenditure of Sebi for the next three financial years, the Board decided to reduce the fees payable by broker by 25 per cent from Rs 20 per crore of turnover to Rs 15," Sebi said. The decision was taken at its Board meeting here.

"The Board approved the proposal to amend various regulations to enable the market participants to make payments to Sebi through digital mode, such as NEFT or RTGS," Sebi said in a statement.

The Board also considered that the existing guidelines on publishing performance of schemes in advertisements issued by mutual funds should be reviewed, so that performance related information may be disclosed in a simpler and effective manner.

It said that for the purpose of increasing awareness of mutual funds as a financial product category, celebrity endorsements may be allowed at an industry level.

"Prior approval of Sebi shall be required for issuance of such advertisements which feature celebrities," it said.

The Board noted that no mutual fund under all its schemes should own more than 10 per cent of units issued by a single issuer of Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs).