SEBI Introduces Colour-Coded Credit Risk-o-Meter (IANS)
New Delhi: The Securities and Exchange Board of India (SEBI) has directed that every debt security in India will come with a mandatory colour-coded ‘Credit Risk-o-Meter’ to assist investors in assessing credit risk through colour-coded visualisation before investing their hard-earned money in securities.
The Capital markets regulator’s new rule will apply to all listed and proposed to be listed issuances of Non-Convertible Securities (NCS), Commercial Papers (CPs), Securitised Debt Instruments (SDIs), Security Receipts (SRs), and Structured Debt / Market Linked Debentures (MLDs), whether issued by public issue or private placement.
According to the new framework, SEBI has…