SEBI Eases Tech Glitch Rules for Small Brokers, Exempts 60% of Firms

• SEBI revised its technical glitch framework, exempting brokers with fewer than 10,000 clients.
• Approximately 60% of brokers, mostly smaller firms, are now free from the compliance burden.
• The definition of a reportable technical glitch has been narrowed, excluding external or non-trading related issues.
• Financial disincentives are rationalized, considering glitch type, frequency, and new exemptions.
• Reporting deadlines extended from one to two hours, and consolidated reporting to a single platform is now allowed.

Why It Matters: SEBI's new framework significantly reduces compliance burden and costs for small stock brokers.