Measures are in place to address excess volatility, says SEBI

Mumbai: Amid the ongoing Adani stock issue, the Securities and Exchange Board of India (SEBI) on Saturday said that it was committed to ensuring an orderly and efficient functioning of the market, and that surveillance measures have been put in place to address the excessive volatility in specific individual stocks.

In a press release issued today, SEBI stated that as part of its mandate, it has put in place a set of well-defined, publicly available surveillance measures to address excessive volatility in specific stocks. This mechanism gets automatically triggered under certain conditions of price volatility in any stock.

Further, in all specific entity-related matters, the market regulator said if any information comes to its notice, then, as



per extant policies, the same is examined and after due examination, appropriate action is taken. It further said that SEBI has consistently followed this approach on entity-level issues and would continue to do so in future as well.

SEBI said the Indian financial market as represented by Sensex and Nifty has demonstrated ongoing stability and is continuing to function in a transparent, fair and efficient manner.

It further said, on a longer term basis also, Indian markets have been viewed positively by investors. SEBI said a cross-country comparison of dollar adjusted market returns with both peer and developed countries, during the past 3 years till date, places the Indian Market as a positive outlier.