What are system-driven disclosures (SDD)? SEBI
System-driven disclosures, or SDD, are SEBI disclosures under the insider-trading and takeover rules that depositories and stock exchanges generate automatically from shareholding data, rather than the entity filing them by hand. They are why many promoter, director, and large-shareholder disclosures now appear on the exchange website without a manual filing. This guide explains what system-driven disclosures are, which rules they cover, and where to find them. It is not investment advice.
Definition
System-driven disclosures (SDD)
are SEBI disclosures under the PIT and SAST Regulations that depositories and stock exchanges generate automatically from shareholding and depository data, instead of the entity filing by hand. SEBI set out the framework in a circular dated September 9, 2020. Source: SEBI.
Which disclosures are system-driven?
SDD covers the recurring, or continual, disclosures that used to be filed manually. Under Regulation 7(2) of the PIT Regulations, these are changes in the holdings of promoters, the promoter group, directors, and designated persons. Under the SAST Regulations, the takeover code, these cover acquisition, sale, and pledge of shares above the specified thresholds. The disclosures are then posted on the stock exchange websites.
How does the process work?
Depositories hold the demat records, so they can see when a promoter or promoter-group holding changes. Under SDD, the depositories provide that shareholding-change data to the exchanges, and the exchanges determine the disclosure and publish it on their websites. The listed entity no longer files those specific disclosures by hand, because the data flows from the depository record to the exchange automatically.
September 9, 2020
Date of the SEBI circular setting out the phased system-driven disclosures framework
Source: SEBI
When did manual filing stop?
SEBI rolled out SDD in phases from the September 9, 2020 circular, starting with promoters, the promoter group, directors, and designated persons. Once the depositories and exchanges had implemented it, SEBI discontinued the manual disclosure under Regulation 7(2) of the PIT Regulations through a circular dated August 13, 2021. The generated disclosures sit alongside the company's other filings on NSE and BSE.
For related disclosure mechanics, see insider-trading disclosure, SAST disclosure, and what is UPSI. Flock reads disclosure filings and keeps each one dated and linked to its source, so you can move from a summary to the exchange disclosure in one step. What any of it means for your money is your call to make.
Frequently asked questions
What are system-driven disclosures?
System-driven disclosures, or SDD, are SEBI disclosures under the PIT and SAST Regulations that depositories and stock exchanges generate automatically from shareholding and depository data, instead of the entity filing them by hand. SEBI set out the framework in a circular dated September 9, 2020. Source: SEBI.
Which disclosures are system-driven?
SDD covers continual disclosures such as changes in promoter, promoter group, director, and designated person holdings under Regulation 7(2) of the PIT Regulations, and acquisition, sale, and pledge disclosures under the SAST Regulations. The exchanges publish the generated disclosures on their websites. Source: SEBI.
When did SDD replace manual filing?
SEBI implemented SDD in phases from the September 9, 2020 circular. With the depositories and exchanges having implemented it, SEBI discontinued the manual disclosure under Regulation 7(2) of the PIT Regulations through a circular dated August 13, 2021. Source: SEBI.
Where can I see system-driven disclosures?
The generated disclosures are published on the stock exchange websites, NSE and BSE, alongside the company's other filings. Depositories provide the underlying shareholding-change data to the exchanges, which determine and post the disclosure. Source: SEBI, NSDL.
Flock tracks these filings, sourced, dated, and linked back to the original. See what smart-money entities disclosed, without the guesswork about what it means.
Disclosures shown are public regulatory filings. Data may be delayed or incomplete. Smart-money entities may no longer hold positions shown. Not investment advice.