FOREX UPDATE

The Securities and Exchange Board of India (SEBI) has changed rules relating to the valuation of debt and money market instruments. The move is to make sure that the current market scenario is reflected in the portfolios of fund houses.

SEBI issued a circular on Tuesday which said that all securities in debt and money markets including those which offer a floating rate, with residual maturity of up to 91 days or over 91 days, would have to be valued at the weighted average price at which they are traded on the particular valuation day.