Sebi on Closing Auction Session after review: Latest update - New CAS rules

Sebi on Closing Auction Session: Markets regulator Sebi on Saturday proposed a few changes to how settlement prices for index and single-stock derivatives are determined on expiry days, following a review of the newly introduced closing auction session (CAS).The move comes after Sebi received several complaints from the market participants regarding the usage of the CAS closing price to settle derivative contracts on expiry."In view of the hyperactivity in expiring index options contracts along with IEP-based derivatives trading during CAS, it is proposed to review the existing methodology for determining the settlement price of both index and stock derivatives contracts on the expiry day," Sebi said in a consultation paper released on Saturday.Here are the top 5 things Sebi has proposed:1.