India’s market regulator, Securities and Exchange Board of India (SEBI), has reportedly found that Bank of America (BofA) improperly shared material non-public information ahead of a major block trade, according to a report by the Wall Street Journal.
What’s the issue?
SEBI alleges that BofA shared confidential details related to a $180 million block trade involving shares of Aditya Birla Sun Life AMC during 2024. The regulator also claims that BofA misled authorities while responding to questions around the transaction.
Where things stand now:
• SEBI reportedly raised these accusations in November
• BofA is said to be preparing a response
• The bank may look to settle the matter for several million dollars, without admitting or denying wrongdoing
Official responses:
As of now, neither SEBI nor Bank of America has publicly commented. Reuters said it could not independently verify the WSJ report.
This case is being closely watched, especially given the global spotlight on how international banks handle sensitive information in emerging markets. It could have broader implications for compliance, block trades, and information barriers in India’s capital markets.
Big Update from SEBI: B-30 Mutual Fund Incentives Delayed
SEBI has postponed the rollout of B-30 distributor incentives from Feb 1 to March 1 due to operational challenges faced by AMCs and distributors.
But don’t miss the bigger picture 
What’s Actually Important Here (Trader’s View)
This is not just a delay — it’s a structural push toward:
• 
Deeper mutual fund penetration in smaller cities (B-30)
• 
Strong focus on first-time women investors
• 
Long-term SIP-led AUM growth
SEBI is clearly betting on new money, not just market rallies.
Incentive Highlights (Simple & Clean)
1% incentive (max ₹2,000)
→ For first-time investors (PAN-based)
→ Must stay invested minimum 1 year
Distributors also get incentives
→ For new SIPs from:
• B-30 first-time investors
• New women investors (T-30 + B-30)
Incentives funded from existing 2 bps investor education pool
No impact on TER
ETFs, FoFs & very short-term debt funds excluded
Why Traders & Long-Term Investors Should Care
• B-30 cities already contribute ~19% of total MF AUM
• Equity SIP growth from B-30 is outpacing expectations
• More incentives =
More distributors pushing SIPs
More sticky retail money
Better market depth during corrections
This is how bull markets become structurally stronger over time.
Smart Takeaway
Markets don’t grow only on price — they grow on participation.
SEBI is laying the rails for the next decade of retail capital.
Short-term traders track price.
Great traders track where the next wave of investors is coming from.
What to Watch Next
March 1 implementation
AMC execution quality
SIP ticket sizes from B-30 & women investors
Distributor behavior shift