Sebi may unveil 'mild' version of safety net

 The Securities and Exchange Board of India (Sebi) is contemplating the introduction of a diluted version of the 'safety net' framework it had laid out in a discussion paper earlier this year.

Hinting to this effect at the CII Capital Markets Summit recently, Sebi Chairman U K Sinha said that it (Sebi) might take a middle path on the implementation of this framework following the mixed feedback received from industry players on the discussion paper 'Mandatory Safety Net Mechanism' floated in September this year.

“It might be a mild solution. Somebody who wants to protect the small investor all the time will be disappointed. Somebody who feels that there should be no safety net will also be disappointed,” said Sinha but didn't elaborate on what might come in the 'mild version' and also when the Sebi board is likely to take up this issue.