Bourses allowed to set derivative contract expiry date
November 13th, 2009 - 8:06 pm ICT by IANS ( Leave a comment )Mumbai, Nov 13 (IANS) India’s equities markets regulator Friday decided to allow stock exchanges the flexibility to set the expiry date for equity derivatives.
“Based on recommendations of the Secondary Market Advisory Committee, it has been decided to allow flexibility to the stock exchanges to set the expiry date for equity derivative contracts,” the Securities and Exchange Board of India (SEBI) said in a release.
The regulator, however, cautioned bourses to ensure that there was no change in the specifications of the contract or the risk management framework, while upholding the integrity of the market.
Currently, all equity derivative contracts expire within three months. The National Stock Exchange dominates trading in equities derivatives.
In another announcement, SEBI said it would look at “facilitating transactions in mutual fund schemes” using existing stock exchange terminals that had a reach of over 1,500 towns and cities.
“Units of mutual fund schemes may be permitted to be transacted through registered stock brokers of recognised stock exchanges and such brokers will be eligible to be considered as official points of acceptance,” the regulator said.
- India allows foreigners to invest in domestic mutual funds - Aug 09, 2011
- 'Qualified foreign investors can directly invest in equity markets' - Jan 01, 2012
- Sebi raises minimum level for portfolio investments - Jan 28, 2012
- Indian mutual funds welcome nod for foreign investors - Feb 28, 2011
- Court urges SEBI, MCX-SX to amicably resolve issues - Sep 16, 2011
- Relax investment norms for private equity funds: CII - Aug 21, 2011
- FII investment cap in infrastructure raised - Feb 28, 2011
- Geojit BNP Paribas launches stocks trading via mobile - Sep 21, 2010
- SEBI planning more grievance and arbitration centres - Dec 17, 2011
- Overseas funds turn bearish, pull out $2.48 bn in August - Aug 28, 2011
- Bombay Stock Exchange gets SEBI nod for currency derivatives - Aug 28, 2008
- Mefcom Capital signs pact with London merchant bank - Sep 08, 2011
- SEBI order on ULIPs a wake-up call for IRDA - Apr 12, 2010
- Toronto, London stock exchanges set merger vote date - May 26, 2011
- Markets to hold special Diwali trading session Wednesday - Oct 25, 2011
Tags: advisory committee, bourses, derivative contracts, derivatives, exchange board, flexibility, integrity, mutual fund schemes, national stock exchange, risk management framework, sebi, securities and exchange, securities and exchange board of india, stock brokers, stock exchanges, three months, towns and cities
