Sebi eases BSDA rules to reduce compliance burden

To further enhance the Basic Services Demat Account (BSDA) framework, markets regulator Sebi on Wednesday decided to exclude Zero Coupon Zero Principal (ZCZP) bonds and delisted securities from the valuation threshold used to determine BSDA eligibility.

The move is aimed at further improving BSDA facility to make investing simpler for investors and reduce the compliance burden for depository participants (DPs). “It has been decided to exclude Zero Coupon Zero Principal (ZCZP) bonds and delisted securities for reckoning the threshold for BSDA,” Sebi said in its circular.

This means that the value of these securities will not be counted while checking BSDA eligibility. This decision follows feedback received from market participants after the earlier circular issued on June 28, 2024.