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Thursday, 1 March 2018

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There is good news for investors trading in cross currency derivatives. National Stock Exchange (NSE), the country's leading exchange, has decided not to take transaction charges from investors for trading in cross-currency derivatives for 3 months. The purpose of the exchange is to increase the share of investors in such contracts.

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Trade will start from 9 am to 7.30 pm

BSE and NSE have launched Futures and Options trading in Cross Currency from Tuesday. These contracts will be allowed to do business from 9 am to 7.30 pm.
NSE says that this decision will help in increasing exposure to foreign currency exchanges and liquidity in currency contracts will increase.

Transaction charge will not be given for 3 months

NSE has stated in its circular that the Exchange has decided not to levy the transaction charges to increase the participation of investors in cross currency F & O contracts. According to the exchange, cross-currency contracts will not have to pay any transaction charges on the trade between February 27 and May 31, 2018.

In the Past week SEBI has approved cross-currency

- In the past week, SEBI had approved cross-currency derivatives trading in pairs such as Euro (EUR) - US Dollar (USD), Pound Sterling (GBP) -USD and USD- Japanese Yen (JPY). In addition to the existing USD-INR, the exchange has got permission to trade in EUR-INR, GBP-INR and JPY-INR.
- In the new contracts, stock brokers, domestic institutional investors, FPIs and clients will be allowed to take position in the business of cross-currency futures and options contracts.

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