SEBI to revamp brokers variable net worth with risk based capital

Published on 25 April 2026

Brokers may need capital based on real risk

SEBI is planning a major overhaul of how brokers calculate variable net worth. The new risk-based approach aims to link capital adequacy to the actual risk of a broker’s operations and the size of its client base. The move could force brokers to rethink buffers and compliance strategies as regulators target more accurate capital coverage.

SEBI will change brokers’ variable net worth calculation
Capital may be tied to operational risk instead of one-size rules
Client pool size could influence capital requirements
Brokers may need to adjust compliance and funding buffers

#capital adequacy #sebi #risk based regulation #stockbrokers #securities market

Read the full story at The Economic Times

This summarization was done by Beige for a story published on The Economic Times

SEBI to revamp brokers variable net worth with risk based capital

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