Jane Street-SEBI Row: What's Key To Sustain Market Confidence? Global Hedge Fund Body Weighs In

Predictable regulation and due process will be key to sustaining confidence in India’s fast-growing markets, said a global association representing hedge funds and alternative asset managers following SEBI’s action against Jane Street.

“SEBI’s interim order reflects a transparent, data-driven approach,” Kher Sheng Lee, co-head of APAC and deputy global head of government affairs at Alternative Investment Management Association, told NDTV Profit in an emailed statement. “Predictable regulation and due process will be key to sustaining confidence in India’s fast-growing markets.”

The statement from AIMA — which represents hedge funds, private credit and other alternative asset managers worldwide — came after the Securities and Exchange Board of India on Friday barred Jane Street Group entities from the Indian securities market and ordered them to deposit Rs 4,843.57 crore in alleged unlawful gains.

SEBI’s order said Jane Street had earned Rs 43,289.33 crore in index options profits between January 2023 and March 2025

Jane Street Group said on Friday it disputes the findings of the Securities and Exchange Board of India’s interim order and intends to engage further with the regulator.

Following Jane Street’s reaction, the market regulator said that it takes action whenever it detects violations in the market, and enforces its orders based on merit, without bias, and in proportion to the violations identified.

“We enter the picture whenever we see violations taking place. We try to correct the violation. All our enforcement actions are without bias, on merit and proportionate. We make it a point that all enforcement actions fulfil this criteria,” SEBI told NDTV Profit.

Lee added that while protecting new retail savers is important, India must remain attractive to global investors and technology-driven strategies. “Global trading firms provide essential liquidity, and overly aggressive enforcement risks discouraging legitimate activity vital to market development,” he said.