Indian Trading Laws: Government Regulations And Compliance
The Indian government enforces strict trading laws to maintain market stability. Regulatory agencies in India ensure that financial markets operate fairly.
Who Controls the Indian Trading Market?
To prevent financial fraud, multiple agencies oversee trading. The main authorities managing trading regulations are:
Stock Market and fxify funding Derivatives Regulator Ensures transparency in share markets.
RBI (Reserve Bank of India) Oversees international financial transactions.
Financial Laws Affecting Traders Imposes capital gains tax on stock profits.
Restricted Trading Activities in India
Not all forms of trading are allowed in India. Here are some trading practices that are either limited or prohibited in India:
Foreign Exchange Trading Rules Only INR-based currency pairs can be traded.
Regulations on International Stocks Indian investors can trade international stocks under certain conditions.
Legal Status of Digital Assets Crypto remains in a legal gray area.