Asia Reg & Microstructure Wrap

Monday, 2026-07-27 · covering the last ~72 hours

India

SEBI

SEBI proposes letting portfolio managers invest client money overseas and take unhedged derivatives positions, in a sweeping review of PMS rules. A consultation paper published Thursday sets out a draft Portfolio Managers Regulations, 2026 to replace the 2020 regulations, and would for the first time let portfolio managers invest client funds in listed foreign equity, listed foreign debt and overseas mutual funds/REITs registered with overseas regulators, subject to FEMA/Liberalised Remittance Scheme limits and explicit prior client consent. It would also permit investment in "to be listed" securities and investment-grade unlisted debt under discretionary PMS, allow unhedged short positions via exchange-traded equity derivatives up to 50% of a client's AUM, and create a new Mutual-Fund-only PMS (MF-PMS) category with a lower entry threshold (₹25 lakh versus ₹50 lakh for regular PMS) and lower net-worth requirement (₹2 crore versus ₹5 crore). Comments are due by 13 August 2026. Business Standard

No other new SEBI circulars or press releases on trading, derivatives or settlement mechanics this window.

Exchanges (NSE/BSE)

NSE and BSE ran a Saturday mock session to test the new Closing Auction Session ahead of its 3 August go-live. Per NSE circular NSE/CMTR/74466, the 25 July mock used a new NEATPlus version (7.8.9) for CAS-related testing in the first trading session, with members reverting to the existing 7.8.8 build for the remaining sessions; live trading resumed as normal on Monday. CAS — introduced by SEBI to replace the VWAP-based closing price with a 20-minute closing auction for derivative-eligible stocks — goes live across both exchanges on 3 August. NSE circular

No other material new NSE or BSE circulars this window beyond routine settlement-calendar, new-listing and surveillance (ASM/ESM/GSM) notices.

RBI, IFSCA & other

No material RBI items specific to equity markets or FPIs this window. No new IFSCA circulars or consultation papers bearing on equities; its GIFT City direct-listing consultation (14 July) remains the open item in the pipeline.

Rest of Asia — Developed Markets

A quiet window: no material new regulatory or market-structure announcements from Hong Kong (SFC, HKEX), Japan (JFSA, JPX/TSE), Singapore (MAS, SGX RegCo), Australia (ASIC, ASX) or New Zealand (FMA, NZX) beyond items already covered in prior editions and routine notices.

Rest of Asia — Emerging Markets

Also quiet: no new circulars or structural rule changes from China (CSRC, SSE/SZSE, Stock Connect), South Korea (FSC/FSS, KRX), Taiwan (FSC, TWSE/TPEx), Thailand (SEC, SET), Indonesia (OJK, IDX), Malaysia (SC, Bursa) or the Philippines (SEC, PSE) this window.

Industry & broker notes

Nothing distinct from freely available broker/industry commentary this window beyond the items above.

Informational only — summaries of public regulatory sources; not advice.