Nithin Kamath, founder and CEO of Zerodha, has raised serious concerns about the possible repercussions of proprietary trading firms scaling back their operations in India, particularly in the wake of market regulator SEBI’s recent action against Jane Street. The New York-based hedge fund, accused of market manipulation, has been barred from Indian markets and had Rs. 4,843 crore in gains impounded. With Jane Street contributing nearly half of all options trading volumes, its exit could significantly disrupt retail activity, which accounts for approximately 35% of the segment.
