Why is it in the News?

Recently, the chairperson of the Securities and Exchange Board of India (SEBI) launched the Investor Risk Reduction Access platform.

About the Investor Risk Reduction Access Platform:

• The Investor Risk Reduction Access Platform is created to make investing safer, especially when technical issues occur at the trading member's end, both at the primary site and the disaster recovery site.
• Its purpose is to let investors close their open positions and cancel pending orders using the IRRA platform when technical problems or unexpected outages make the trading member's site inaccessible.
• It's designed to minimize risks for investors involved in the market.
• The platform is not for making new positions or orders;
• its role is solely to cancel pending orders.
• This platform is accessible to trading members supporting internet-based trading (IBT) and Security Trading through Wireless Technology (STWT) for their investors.
• However, it is not available for algo trading and institutional clients.
• All major stock exchanges – BSE, NSE, NCDEX, MCX, and Metropolitan Stock Exchange of India (MSE) – have collaborated to develop this platform.
• Stock exchanges can keep an eye on factors such as connectivity, order flow, and social media updates.
• They can independently activate the IRRA service if necessary, without waiting for a request from the trading member.