Mumbai: The upcoming board meeting of Securities and Exchange Board of India (SEBI) on March 23, 2026, is expected to be very important for the stock market. At a time when markets are already volatile, this meeting could act as a major trigger for future direction.
Big Relief Likely for Foreign Investors
One of the biggest proposals under discussion is related to Foreign Portfolio Investors (FPIs). SEBI may allow “netting of funds” instead of the current gross settlement system.
Right now, FPIs have to pay separately for buying and selling shares on the same day. If the new rule is approved, their buy and sell positions can be adjusted. This will reduce funding costs and make large trades easier, especially during index rebalancing days.
Possible Changes in Intermediary Rules
SEBI is also likely to review its “fit and proper” rules introduced in 2021. Currently, even an FIR or chargesheet can disqualify a person from being part of market intermediaries.
The proposal suggests easing these rules so that strict action is taken only after a court conviction. This change can bring more clarity and fairness to the system.
Focus on Conflict of Interest Norms
Another key topic is the review of conflict of interest rules for SEBI board members and employees. Earlier discussions faced concerns over privacy issues, but the regulator may revisit this matter to improve transparency and governance.
Push for REITs and InvITs
SEBI is also focusing on new investment options like REITs and InvITs. The aim is to encourage investors to diversify beyond equity and debt.
The regulator may take steps to remove existing hurdles and make these platforms more attractive and accessible.
Social Impact Fund for Retail Investors
A major proposal includes reducing the minimum investment limit in social impact funds from ₹2 lakh to just ₹1,000. This will allow small investors to participate in social and development projects.
Why It Matters for Markets?
If these proposals are approved, they can increase liquidity, improve investor confidence, and open new investment opportunities. The meeting could become a turning point for the market in the coming weeks.
