The Securities and Exchange Board of India (SEBI) issued a circular on December 20, 2024, regarding its updated policy for sharing market data for research and analysis purposes. This policy aims to provide accredited academic institutions access to anonymized data for research while maintaining the privacy and security of sensitive information. SEBI emphasized the need for stock exchanges, depositories, and clearing corporations to segregate their data into two categories: publicly available data and restricted data. The first category, known as the “first basket,” includes aggregate and analyzed data, such as trading statistics, indices snapshots, and corporate bond reports. This data can be freely shared with the public and researchers, with certain restrictions on volume and processing, for which a small fee may be charged. The second category, the “second basket,” contains confidential information, such as KYC data, trade logs, and entity details, which cannot be shared publicly due to privacy concerns.
The circular outlines that stock exchanges, depositories, and clearing corporations must identify and categorize their data according to these baskets and submit the data list to SEBI for approval within 60 days. The data in the first basket should be made available in a stakeholder-friendly format, and sample files for these datasets should be placed on the respective organizations’ websites. Furthermore, a “data seeking request form” must be made available for researchers to justify the necessity of specific data for their research projects. The new policy aims to strike a balance between data privacy and providing access for academic research, with the implementation set to be reviewed annually.
Securities and Exchange Board of India
Circular No. SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2024/178 | Dated: December 20, 2024
To
All Recognized Stock Exchanges,
All Depositories,
All Clearing Corporations,
Dear Sir/Madam,
Subject – Policy for Sharing Data for the Purpose of Research / Analysis
1. Vide SEBI Circular No. SEBI/HO/DEPA-III/DEPA-III_SSU/P/CIR/2022/25 dated February 25, 2022 on “Approach to securities market data access and terms of usage of data provided by data sources in Indian securities market”, all market intermediaries and other data sources in Indian securities markets were advised to freely disseminate various reporting and disclosure data that are mandated by the regulators in a downloadable format. It was also advised that, apart from the data made available free of cost, data which is chargeable should be appropriately identified as such in the public domain.
2. SEBI has a data sharing policy to share anonymised data that is not publicly However, since SEBI is not the originator of most of the market data, the scope of sharing data under the extant data sharing policy of SEBI was deliberated by the SEBI Market Data Advisory Committee (MDAC). One of the issues discussed by MDAC was the authenticity and adequacy of data, together with data privacy. It was suggested that the stakeholders need to be able to source the requisite data from the original sources. MDAC further suggested that in order to achieve the balance between data privacy vis-a-vis providing access to data, organizations, which are actual source of data, will need to have a policy on data collection, processing, storage, dissemination and sharing.
3. Accordingly, it has now been decided to have a uniform policy for Stock Exchanges, Clearing Corporations and Depositories respectively, for sharing data separately for only research/ research publications undertaken by accredited academic institutions. Data shared with vendors for commercial purposes shall not fall under this policy. Accordingly, Stock Exchanges, Depositories and Clearing Corporations are advised to segregate data available, for each market segment, with them into two baskets as follows:
3.1. Data in the first basket will be those which can be shared with the public. These should be aggregate and analysed data only. This basket shall also include reporting and disclosure data that are mandated by the regulators. The principle should be to avoid disclosing any personal, sensitive or confidential information in public domain. Data in this basket will include the following:
3.1.1 Data which is publicly available on respective website of each Stock Exchange, Depository and Clearing Corporation.
3.1.2 Data which is voluminous and cannot be placed on the respective websites of the MIIs. An indicative list of such data (including shareable anonymised data that cannot be used to identify an individual/ entity directly or indirectly), would be made available on the portals and MIIs would provide a reasonable amount of data requested by a researcher free of cost (upto 2 GB of data per researcher per year that requires no extra computation). However, if the requested data is very high in volume and/ or needs further processing/ value addition, MIIs may charge a cost-basis fee from the researcher to process and provide such data.
3.2. Data in the second basket will contain information that cannot be shared with the public. These data would include, for instance, KYC information / trade logs / holding details of an entity/ individual, etc. with the identity of the entity/ individual. This would also include anonymised data that could be used to identify an individual/ entity directly or indirectly.
4. All Stock Exchanges, Depositories and Clearing Corporations are advised to identify data in the abovementioned baskets and accordingly frame their data sharing policy. A few examples of type of data for each of the two baskets are provided at Annexure Further, the categorisation of data into the two baskets should be uniform and market segment wise for each category of MIIs (Stock Exchanges, Depositories and Clearing Corporations).
5. MIIs are required to share the data list under each basket with SEBI for approval, within 60 days of the issuance of this Circular and the same shall be reviewed annually or on need basis, whichever is earlier. The data made available through first basket should be in a stakeholder friendly format.
6. Further, MIIs are advised to place sample files pertaining to data categorised under Para 3.1.2 above on their respective websites.
7. MIIs are also advised to place a specimen “data seeking request form” on their respective websites. In the data seeking request form, the data seeker shall justify as to how the particular data sought is necessary for his/her/its/their research project to test the specific hypothesis.
8. The provisions of this circular shall come into force with immediate effect. All MIIs are directed to communicate the status of the implementation of the provisions of this Circular to SEBI within three months from the date of this Circular.
9. This Circular is being issued in exercise of powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992, to protect the interests of investors in securities and to promote the development of, and to regulate, the securities market.
10. This Circular is available at sebi.gov.in under the link “Legal —Circulars”.
Yours faithfully,
Prabhas Kumar Rath
Chief General Manager
Department of Economic and Policy Analysis
Tel No. 022-26449772
E-mail: [email protected]
Annexure I
A few examples of type of data for each of the two baskets are as mentioned below:
1. First Basket
The examples of data which is publicly available on respective website of each MIIs are:
i. Business growth in all segments, Bhav Copy
ii. Indices snapshot and Trading Statisticsii
iii. Category-wise Turnover and Open Interest
iv. Percentage of Proprietary and Client Trades
v. Investor Grievances Details
vi. Corporate Bonds Traded Report
vii. Enforcement action against the members
viii. Disclosures required under Listing regulations such as Shareholding Pattern, Corporate Governance Report and Investor complaints, etc.
ix. Daily margin percentages
x. Core Settlement Guarantee Fund (SGF) components
xi. DP Statistics, Issuer Details, BO Aggregate Details, List of DPs, RTAs
xii. Foreign Portfolio Investors(FPI) Investments details
The examples of data which is voluminous and cannot be placed on the respective websites of the MIIs are (this also includes shareable anonymised data that cannot be used to identify an individual/ entity directly or indirectly):
i. Historical Trading Statistics Data for all segments
ii. Intra-day index data
iii. Data for multiple years on margins, volatility etc.
iv. Historical daily trade prices – OHLC, Volume, Turnover, Open interest
v. Historical Spot and Future Prices beyond 30 days
2. Second Basket
The examples of data that cannot be shared with the public are:
i. Pan-wise trade data for all segments, Personal Identifiable Information
ii. Unique client code details and KYC details,
iii. Tick-by-tick orders and trades data with anonymised client and member identity for all segments
iv. Holding details of an entity/ individual, etc.
v. Confidential information of DPs, RTAs, Issuers etc.
vi. Clearing Member/Trading Member/Client wise Physical Delivery information
vii. Delivery Default/Pay-in Default information of the member
viii. Funds Pay-in Pay-out/Physical Delivery information of members / clients
ix. Any kind of collateral/bank wise collateral information present with the clearing corporations
x. Client wise position/ margin data with client and member IDs
xi. Name of polling participants/approved hedgers
