SEBI seeks maths aces to decode market - Hindustan Times
close_game
close_game

SEBI seeks maths aces to decode market

Hindustan Times | ByVyas Mohan, Mumbai
Jun 16, 2007 03:02 AM IST

The Securities and Exchange Board of India is planning to recruit a good number of mathematicians to decipher the working of the products and help it function better, reports Vyas Mohan.

With a fast-evolving financial market rapidly adding more and more complex products to its basket, the Securities and Exchange Board of India (SEBI) is planning to recruit a good number of mathematicians to decipher the working of these products and help it function better.

HT Image
HT Image

The market watchdog will shortly recruit around 100 officials, out of which a few will be mathematicians, sources close to it said.

Hindustan Times - your fastest source for breaking news! Read now.

When contacted, SEBI chairman M Damodaran said, "It is premature to make a comment at this stage. We are looking at people from different disciplines as (financial) products are getting more complex."

According to the sources, these mathematicians will analyse the models involved in the design of financial products to help the regulator make well-informed judgments before allowing these products into the market.

Experts who have been associated with the market, the regulator and the appellate tribunal, feel inclusion of mathematicians will also strengthen the Sebi's capacity to tackle lawsuits against it. The watchdog has already firmed up its legal cell by recently appointing on a number of trained lawyers.

"It is essentially a good thought. Though these people would not be involved in the legal activities of the regulator, there are several areas where a mathematicians' expertise can be used to find out minute details and analyse things in depth, thus making the case stronger for SEBI," said a senior lawyer who deals with market-related lawsuits.

However, the regulator seems to be facing some difficulties in convincing mathematicians to join it in the task of ensuring orderly conduct of the equity markets.

Another challenge the regulator may face after recruiting mathematicians would be the high demand for this talent pool from multi-national companies. Though fresh hands in the field may be available at affordable salaries (by government standards) human resource consultants say that after a year, big financial firms could well come hunting for them and lure them away.

Unlock a world of Benefits with HT! From insightful newsletters to real-time news alerts and a personalized news feed – it's all here, just a click away!- Login Now!
Stay informed on Business News along with Gold Rates Today, India News and other related updates on Hindustan Times Website and APPs
SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Friday, March 29, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On