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Corporate Laws Central Ministry of Finance Securities and Exchange Board of India Act, 1992

Review of Framework to address the 'Technical Glitches' in Stock Brokers' Electronic Trading Systems'

09-Jan-2026 | HO/38/44/12(1)2026-MIRSD-TPD1

SEBI has issued a circular on the Review of the Framework to Address "Technical Glitches" in Stock Brokers' Electronic Trading Systems, which shall come into effect from 09th January 2026.

Pursuant to this circular, SEBI has introduced a revised framework to address technical glitches. The key highlights of the revised framework are as follows:

1. The framework shall be applicable to stock brokers providing Internet-Based Trading (IBT) and Securities Trading using Wireless Technology (STWT) and having more than 10,000 active registered clients as on 31 March of the previous financial year.

2. The definition of "Technical Glitch" has been provided in Paragraph 5 of the circular.

3. Stock brokers are required to inform the stock exchanges as well as their clients about the occurrence of a technical glitch within two (2) hours of its occurrence. Such information shall be disseminated through their website and any other mode, such as SMS, email, or pop-up notifications on mobile-based or web-based trading applications.

4. Stock brokers are required to submit a Preliminary Incident Report as well as a Root Cause Analysis (RCA) Report on the Samuhik Prativedan Manch, i.e., the common portal for submissions by stock brokers (Paragraph 7).

5. Stock brokers are required to carry out capacity planning for their entire trading infrastructure, including server capacity, network availability, and the serving capacity of trading applications. They must also monitor peak loads across trading applications, servers, and network architecture.

Kindly refer to the attached document for further details.

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