Safeguards to avoid trading disruption in case of failure of software vendor

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....cture institutions for the purpose of trading, risk management, clearing and settlement play a crucial role in the securities market. Any inability on the part of such software vendors to provide software or related services in timely and continuous manner may create a situation of stress in the securities market. 2. This issue was discussed with SEBI's Technical Advisory Committee (TAC) and ....

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....elated to design and development specifications in the event software vendor fails to provide continuous and timely services to the stock broker; (ii) development of expertise at the end of the stock broker through appropriate training with regard to software usage and maintenance; (iii) appropriate penalty clauses for cases of disruptions to the trading system of the stock broker on account o....