Comprehensive Guidelines on Derivatives : Modifications
RBI/2011-12/136
DBOD.No.BP.BC. 27/21.04.157/2011-12
August 2, 2011
The Chairman and Managing Directors/ Chief Executive Officers of
All Scheduled Commercial Banks (excluding RRBs and LABs),
All India Term-Lending & Refinancing Institutions &
Primary Dealers
Dear Sir,
Comprehensive Guidelines on Derivatives : Modifications
Please refer to our Circular DBOD No. BP. BC. 86/21.04.157/2006-07 dated April 20, 2007 on Comprehensive Guidelines on Derivatives. The guidelines with regard to suitability and appropriateness policy for offering of derivative products to users, as outlined in paragraph 8.3 of the said circular, have been reviewed in the light of experience gained in implementation of the guidelines over last four years. The revised guidelines are furnished in the Annex (changes indicated in bold italics).
Yours faithfully,
(Deepak Singhal)
Chief General Manager-in-Charge
__________________
Note : Circular DBOD No. BP. BC. 86/21.04.157/2006-07 dated April 20, 2007 is mentioned below
Comprehensive Guidelines on Derivatives
RBI/2006-2007/333
DBOD.No.BP.BC. 86/21.04.157/2006-07
April 20, 2007
Chairmen/ Chief Executive Officers
All Commercial Banks (excluding RRBs),
All India Term-Lending & Refinancing Institutions &
Primary Dealers
Dear Sir,
Comprehensive Guidelines on Derivatives
As indicated in paragraph 137 of the Mid-term Review of Annual Policy for year 2006-07, an Internal Group was constituted by the Reserve Bank to review the existing guidelines on derivatives and formulate comprehensive guidelines on derivatives by banks.
2. Draft comprehensive guidelines on derivatives based on the recommendations of the Group were placed on the RBI website on December 11, 2006 and were open for comments from all concerned.
3. Comments were received from a wide spectrum of banks and other market participants. The guidelines have been suitably revised in the light of the feedback received and are furnished in the Annex.
4. Guidelines in respect of foreign exchange derivatives will be issued separately.
Yours faithfully,
Prashant Saran
Chief General Manager-in-Charge
CAclubindia
