SEBI tightens employees’ code; mandates a 2-year cooling-off period

What happened

The Securities and Exchange Board of India has introduced a new code for its employees, which includes a mandatory two-year cooling-off period to prevent conflicts of interest.

Causal chain

SEBI introduces new code → Enhances transparency → Improves market integrity

India impact

Sector impacts

Nifty 50 ~

New code has limited immediate market impact.

Short term (1–4 weeks)

Neutral impact on market as new code is implemented.

Long term (3–6 months)

Long-term benefits for market integrity and transparency.

Sources

· The New Indian Express: Sebi tightens employees’ code; mandates a 2-year cooling-off period