Last Updated:July 06, 2025, 08:04 IST
Founded in 2000, Jane Street is a US-based leading global trading firm that operates as a proprietary trading company.
SEBI is launching a major drive to boost investor protection and tighten regulations after banning Jane Street from Indian markets for alleged manipulation of Bank Nifty options.
Jane Street Fraud Saga: The Securities and Exchange Board of India (SEBI) is gearing up for a major drive to boost investor protection and tighten risk-based regulations. This move follows its recent action against US-based trading firm Jane Street Group. SEBI Chairman Tuhin Kanta Pandey, on Saturday, announced that the regulator will soon launch a large-scale public awareness campaign focusing on cyber frauds and the risks associated with futures and options trading.
SEBI Chairman Tuhin Kanta Pandey said that one-size-fits-all rules are not suitable for all investors. Speaking at an event organised by the Bombay Chartered Accountants Society, he noted that SEBI has witnessed serious misconduct in the past, including siphoning of funds, and has taken strict action by barring those found guilty from the capital markets.
In a significant development, the Securities and Exchange Board of India (Sebi) has prohibited the Jane Street Group, a global proprietary trading firm, from participating in Indian securities markets. This regulatory action follows a thorough investigation into alleged manipulation of the Indian stock market via index derivatives, particularly Bank Nifty options, which resulted in the company earning massive profits exceeding Rs 36,500 crore between January 2023 and March 2025.
Founded in 2000, Jane Street is a US-based leading global trading firm that operates as a proprietary trading company. Unlike hedge funds, Jane Street trades using its own capital. It has operations across the US, Europe, and Asia, specialising in high-frequency trading and algorithmic strategies. The firm has over 2,600 employees and is known for its sophisticated quantitative models and automated market-making systems.
In India, it operated through four firms — JSI Investments Pvt Ltd, JSI2 Investments Pvt Ltd, Jane Street Singapore Pte Ltd, and Jane Street Asia Trading Ltd.
Between January 2023 and March 2025, Jane Street entities made over Rs 43,289 crore in profits from index options, particularly Bank Nifty (BANKNIFTY) using various strategies that allegedly manipulated markets. These profits were partly offset by losses in other segments like stock futures and cash equity, resulting in a net gain of Rs 36,502 crore.
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al…Read More
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al… Read More
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