India’s third national-level stock exchange, the MCX-SX, will go live with equity cash and derivatives trading from Monday. The Financial Technologies-promoted bourse was inaugurated by Finance Minister P Chidambaram on Saturday. MCX-SX will trade 1,116 equity stocks on its platform under the permitted category rules.

“You (MCX-SX) have competition from two guys (BSE, NSE) waiting in the arena, and they will have competition from you. Good luck to all three of you. The competition that all three of you provide will make the stock market a vibrant place for more people to invest their savings,” Chidambaram said after punching the first trade order at MCX-SX.

Securities and Exchange Board of India (Sebi) Chairman U K Sinha, also present at the event, advised all the stock exchanges to focus on risk mitigation. “We will ensure regulations are followed with fairness and uniformity.”

Like BSE’s Sensex and the National Stock Exchange’s (NSE’s) S&P CNX Nifty, SX-40 will be MCX-SX’s flagship index. It will be a free-float-based index of 40 large-cap stocks, representing the economy’s diverse sectors. The base value of SX-40 would be 10,000 and its base date would be March 31, 2010, the exchange said. Of the 700 members the bourse has signed up, registration of 405 have already been cleared by the regulator, while more clearances will take place in the coming days. Both BSE and NSE have 1,400-1,500 registered members each.

source: Business-Standard

Similar Posts:

• Equities end at day’s low; Nifty down 7%
• FIIs sell equities worth Rs 511 cr
• Equities snap 3-day losing streak
• China, Hong Kong markets to trade on NSE from tomorrow.
• Govt to restart futures trade in 4 commodities on Thursday