Mint Explainer: Why has Sebi tweaked the timelines for sharing market data with educators?
The Securities and Exchange Board of India (Sebi) has proposed a uniform 30-day lag for exchanges to share market data with trading academies and for academies to use such data in their teaching materials after receiving feedback from the industry. Two previous circulars had sparked confusion about whether these academies could use one-day-old or three-month-old market data.In a consultation paper released on Tuesday, the regulator suggested that stock exchanges provide market data for educational purposes only after a 30-day delay, and that trading academies limit their training materials to 30-day-old data.Mint explains why such time lags for sharing and using market data exist, why a delicate balance is needed, and why Sebi decided to change them now.In May 2024, Sebi restricted exchanges from sharing live market data such as prices, volumes and so on for trading and related activities, while allowing a one-day lag in the dissemination of such data for education and awareness.Then in January 2025, Sebi said educational institutions could only use three-month-old data in their teaching sessions.
This caused confusion among trading academies on whether they could use data that was a day old or three months old. The new framework seeks to clarify this.In its draft paper, the markets regulator said it had received feedback from the industry that the one-day lag for sharing data was too short and the three-month lag for using data was too long.
The one-day lag could open up opportunities for misuse in the form of unauthorized stock recommendations or market manipulation, while the three-month lag could make educational data redundant, they said. Sebi concluded after internal deliberations that the three-month lag on using
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