Zerodha Co-founder Warns of Regulatory Risk

Economic Times Markets · stocks

Zerodha co-founder Nithin Kamath has identified regulatory risk as the primary threat for financial businesses. He cited the IRDAI's draft on insurance commissions as a recent example of how quickly business economics can be altered by new rules. The regulator proposed expense limits and commission caps, impacting distribution economics. Kamath extended this warning to fintech and broking, noting that changes in rules for areas like retail F&O trading or margin funding could.