Mumbai, Sep 28 The National Stock Exchange (NSE) has issued guidelines defining technical glitches, capacity planning, software testing, and change management, following a SEBI proposal to enhance the technical glitch framework for stock brokers.
The guidelines outline business continuity planning and monitoring mechanisms to enact the SEBI proposal. A financial disincentive applies for glitches lasting over 15 minutes, although exemptions exist for issues in mobile or web trading applications that are otherwise functional.
Brokers must report technical glitches immediately and submit a preliminary incident report within one business day, with a Root Cause Analysis (RCA) required within 14 days. Incidents over 45 minutes must be audited by an independent reviewer.
SEBI’s draft circular proposes excluding certain disruptions from the technical glitch definition, such as failures at market infrastructure institutions, KYC processing delays, back-office issues, payment gateway failures, and non-trading decision-support tool problems.
