Please find the following update under SEBI
| Clause | Registration and regulatory framework for Online Bond Platform Providers (OBPPs) | Modifications to provisions of Chapter XXI of NCS Master Circular dealing with registration and regulatory framework for Online Bond Platform Providers (OBPPs) |
| Clause 5.2 | Pursuant to discussions with market participants and stakeholders, vide notification dated November 09, 2022, a framework has been prescribed for entities operating/ desirous of operating as OBPPs under regulation 51A of the SEBI NCS Regulations, 2021: 5.1.Such entity shall be a company incorporated in India and register itself as a stock broker in the debt segment of the Stock Exchange(s); 5.2. 52An entity acting as an Online Bond Platform Provider on or prior to November 14, 2022, shall divest itself of offerings of products or services or securities on its Online Bond Platform or any other website/ platform other than the following: 5.2.1. Listed debt securities, listed municipal debt securities and listed securitised debt instruments; 5.2.2. Debt securities, municipal debt securities and securitised debt instruments proposed to be listed through a public offering; 5.2.3. Listed Government Securities, State Development Loans and Treasury Bills; and 5.2.4. Listed Sovereign Gold Bonds.” | “An entity acting as an Online Bond Platform Provider shall offer only the following products or securities or services on its Online Bond Platform: 5.2.1. Listed debt securities, listed municipal debt securities and listed securitised debt instruments;5.2.2. Debt securities, municipal debt securities and securitised debt instruments proposed to be listed through a public offering; 5.2.3. Listed Government Securities, State Development Loans and Treasury Bills; 5.2.4. Listed Sovereign Gold Bonds; and 5.2.5. Other products or securities or services that are regulated by a financial sector regulator viz. SEBI, RBI, IRDAI or PFRDA. In case of the products or securities or services mentioned at 5.2.5 above, a. they may be offered by the entity either under a different tab on its online bond platform or on any other website/ platform. b. they will be governed by the directions/ stipulations of the respective financial sector regulator.” |
| Clause 5.3.4 | It is also reiterated that an entity acting as an Online Bond Platform Provider shall divest itself of offerings of other products/ securities or services. | “It is also reiterated that an entity acting as an Online Bond Platform Provider shall divest itself of offerings of other products or securities or services which are not permitted under the clause 5.2 of this Chapter.” |
| Clause 5.3.7 | If the online bond platform or any other platform/ website of the Online Bond Platform Provider has any link/ tab to websites/ platforms of its holding company, subsidiary or associate, undertaking any activity or offering products/ securities or services that are regulated by other financial sector regulators viz. RBI, IRDAI, or PFRDA, then once a user clicks on such tab/ link, the following disclaimer shall be displayed in legible font: Name of the product is regulated by RBI/IRDAI /PFRDA | If the online bond platform or any other platform/ website of the Online Bond Platform Provider has any link/ tab to websites/ platforms offering products or securities or services that are regulated by other financial sector regulators viz. RBI, IRDAI, or PFRDA, then once a user clicks on such tab/ link, the following disclaimer shall be displayed at all times in legible font: Name of the product is regulated by RBI/IRDAI /PFRDA In case the Online Bond Platform Provider offers products or securities or services that are regulated by SEBI on its online bond platform or any other platform/ website, the relevant SEBI regulations as applicable to the product / security / service shall apply |
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