Institutional mechanism by Asset Management Companies for identification and deterrence of potential market abuse including front-running and fraudulent transactions in securities

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....et Management Companies (AMCs) All Trustee Companies/ Board of Trustees of Mutual Funds Association of Mutual Funds in India (AMFI) All Recognized Stock Exchanges All Recognized Depositories Madam/ Sir, Subject: Institutional mechanism by Asset Management Companies for identification and deterrence of potential market abuse including front-running and fraudulent transactions in s....

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....mechanism for identification and deterrence of potential market abuse including front-running and fraudulent transactions in securities. This mechanism shall consist of enhanced surveillance systems, internal control procedures, and escalation processes such that the overall mechanism is able to identify, monitor and address specific types of misconduct, including front running, insider trading, m....

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....s of dealing room and CCTV footage (if available). 3.3.2. AMCs shall also maintain and monitor entry logs to the AMCs' premises. 3.4. Standard operating procedures: 3.4.1. The AMCs shall formulate written policies and procedures for conducting examination and taking action in case of potential market abuse including front-running and fraudulent transactions in securities by its employees ....

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....that the procedures and/or systems put in place are reviewed and updated at appropriate periodic intervals. 4. Trade related information from exchanges: 4.1. For effective functioning of the institutional mechanism, the stock exchanges and depositories shall develop systems, in consultation with AMFI, to enable data sharing with AMCs. 5. Reporting to SEBI - In reference to alerts generate....