CNBC TV18 SEBI may tighten access to derivatives trading with new suitability norms

Being born in this country is like born in quicksand. Such a mud born finds it difficult to come out of it…

The question then remains is of who can come out, not who wishes to come out.

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…with the hope that enabling a current loss-maker
to continue to participate in the market for longer,
enabling them to learn and hopefully contribute to the market
(eg. provide liquidity, provide accurate price discovery, …)
and be rewarded for it.

Otherwise subsidizing losses is

  • incentivizing loss-making behavior.
  • indirectly sponsoring the winners.

Let’s think through this metaphor beyond the instinctive superficial first reaction…

Keeping aside the over-generalization,
and focusing on the less privileged in the country for whom this “born in quicksand” metaphor may apply,
i.e. someone who has lost hope and is panicking in quicksand.
It is likely that they won’t hesitate to grab even a venomous snake thrown at them
to try and save themselves from drowning in the quicksand.
Is that a good long-term strategy though? :thinking:
(also, is throwing them a less venomous snake to grab on to, a sustainable solution?)

Would it be better to educate folks about
a. how quicksand isn’t all that quick
b. and one cannot drown in it unless one actively tries to / panics
c. and basic simple steps to easily float like a plank and move to the shore

Source


Quicksand - Wikipedia

Playing with venomous snakes is a tough act even standing on solid ground.
Is it prudent for folks who are in quicksand to attempt to play with venomous snakes?
(or even if they are not in quicksand, if they simply think that they are and act like they are)

What would be the equivalent of this metaphor in investing/trading markets? :thinking:

“Twitter rocks again,”
As SEBI considers prescribing a minimum capital requirement for F&O participation,
it may also be worth exploring whether the Government could introduce a minimum earning criterion for the purchase of alcohol.
Such a measure could help safeguard vulnerable households and ensure the wellbeing of their primary earners.

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Lol. Where will the government get the money for freebies they throw every election?

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This is not true , Loser will also pay taxes , winners also pay taxes but saves his shirt , where as the Loser become Bankrupt :slightly_smiling_face: so many people are social Democrats so that some one will pay their bills :thinking:

It is there already :slightly_smiling_face:
Key Eligibility Factors

  • Age: The biggest factor is age, which differs by state.
    • 18 Years: Goa, Himachal Pradesh, Karnataka, Rajasthan, Puducherry, etc…
    • 21 Years: A common age in many states like Assam, UP, Telangana, etc…
    • 23 Years: Kerala has a higher age of 23.
    • 25 Years: Maharashtra, Punjab, Chandigarh, Delhi, Meghalaya.
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Would be happy with the same eligibility as for alcohol then…

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They could mandate a certain level of health insurance coverage for alcohol buyers :slight_smile:

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