New Delhi, July 9 -- A major regulatory intervention by the Securities and Exchange Board of India (Sebi) in the case of Jane Street has prompted us to examine the worst-kept secret in our financial markets-namely, manipulation of indices to move the stock market in a certain direction for profits to be made through synthetic derivatives.

While the Sebi move aims to protect market fairness and retail investors, its regulatory action seems delayed. This is not only in the current case of Jane Street, but, more worryingly, in addressing systemic flaws in our otherwise well-regulated trading markets and the inadequacy of tech-based safeguards to check potential market abuse by algorithmic trading firms.

Also Read: Sebi's Jane Street interi...