"We feel that the present requirement of Rs 2 lakh should remain so as the capital markets are passing through a turbulent phase. Another issue we plan to discuss at the meeting would be to consider bank guarantees in lieu of fixed deposits and securities for capital adequacy," said a FISE official.

One of the new initiatives being planned by FISE is to register the body as an SRO with SEBI. "Once this is achieved, the body will be able to function on lines of AMFI, Association of registrars etc. Secondly the SEBI approval makes it a recognised body for all broker-related problems," said the official.

The FISE feelsthere is need for institutional support system for inter-market trading to reduce market risk. It has expressed the view that ISE should be designated as an inter-market trading support organisation.

Another issue that is being discussed at the meeting is what sort of powers the SEs should be vested with for penalising companies which have not paid the listing fees or fail to comply with the listing agreement. FISE is also of the view that all bourses with SGF should be permitted to take up stock lending like National Securities Clearing Corporation Ltd (NSCCL).

"SEBI should seek international funding assistance for development of capital market infrastructure or seek allocations from the Centre by way of support to the banking system. In addition, we are of the view that permission should be accorded to investment institutions to hedge in modified carry forward system and participate in badla system," opined the official.

The federation has also decided to represent to SEBI that if there iscancellation/suspension of the registration of a stockbroker (director of governing board) because of any disciplinary action against such director by exchange/SEBI, then such director should be barred from attending the governing board meetings "during the suspension period only" and not for his remaining tenure.