Indian regulator SEBI has kept short sellers on a pretty short leash. However, according to a recent report, SEBI may finally be loosening its short selling rules.
- SEBI is considering doubling the number of stocks eligible for short selling through the Securities Lending and Borrowing (SLB) mechanism; while also lowering collateral requirements;
- Currently only about 176 stocks are eligible; barely a fraction of the thousands listed on Indian exchanges;
- SEBI also, wants to make it easier for investors to short stocks.
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