Market regulator Stock and Exchange Board of India says it will frame guidelines on enabling physical delivery- based settlement in the derivative segment by the end of July.SEBI Chairman C B Bhave told reporters in Mumbai that the issue is being discussed between SEBI and stock exchanges. Bhave also said that SEBI is considering whether distributors of financial products need to be regulated.In March, SEBI had decided to allow physical delivery in the equity derivatives segment to bring down speculation in the stock markets and had said it will hold talks with the stock exchanges and work on the system.