Here is the effect of similar kind of restrictions of equity exposure in Korea's derivatives market.
SEBI's proposal would kill Indian Market too. Currently, 40-50% volumes are provided by small retail traders.
http://m.koreaherald.com/view.php?ud=20170119000602#cb
thanks to afin's #SEBIagainstRetailTrader
Specially discount brokers must also build protest ASWAP. Bcoz their main client base is small retail clients trading under 1 lakh capital. Such clients mostly trading with leverages.
If SEBI really wants to protect the small retail traders then the best way is to decrease lot size.
SEBI's proposal would kill Indian Market too. Currently, 40-50% volumes are provided by small retail traders.
http://m.koreaherald.com/view.php?ud=20170119000602#cb
thanks to afin's #SEBIagainstRetailTrader
Specially discount brokers must also build protest ASWAP. Bcoz their main client base is small retail clients trading under 1 lakh capital. Such clients mostly trading with leverages.
If SEBI really wants to protect the small retail traders then the best way is to decrease lot size.