RELATED MENU
 
LATEST UPDATES
 
CURRENT NEWS
 
Old NEWS
 
 
 
 
Mar 17, 2016

COMMODITY DERIVATIVES TRADE ALLOWED AT IFSC BOURSES

Indian Stock Market regulator SEBI in a recent move has given its permission for trading in commodity derivatives at the Stock Exchanges which will be operating in GIFT IFSC or any other IFSC in India.

This move comes after an amendment was made in the Securities Contracts Regulation Act wherein the meaning of securities was expanded to include commodity derivatives too.

After the fiasco of NSEL & FTIL involving MCX, SEBI was mad the regulatory authority for the commodity derivatives market as well during last year.

 

In today’s circular SEBI said "commodity derivatives shall be eligible as securities for trading and stock exchanges operating in an IFSC may permit dealing in commodity derivatives".
 
As per the earlier regulatory notifications which enabled IFSC regime in India, any recognised exchange, domestic or foreign, can set up a subsidiary in a notified IFSC, provided at least 51% stake in the venture is held by them.

 

GIFT City is India’s first IFSC and these norms which are aimed at enabling the operations of stock exchanges and capital market infrastructure in an IFSC will help GIFT City in its economic activities.

 

GIVE REVIEW

 
 
 
Copyright © 2013 All rights reserved | Disclaimers | Credits

HITS Counter

:
web counter
   
Follow us on :