On the regulatory side, the recent measures announced by the Reserve Bank of India can be seen as an overhang in the near term. The brokerage estimates the impact of these regulations on the trading volumes to be in the range of 8-10 per cent, particularly in the derivatives segment, which is more prone to leverage and speculative trading. Nonetheless, the long-term story continues to remain strong, driven by retail penetration and the move towards the digitalisation of financial services.
