Singapore Exchange and India Stock Exchange NSE to meet in India Court to Decide Fate of Indian Derivative Products

Singapore Exchange and India Stock Exchange NSE to meet in India Court to Decide Fate of Indian Derivative Products

Singapore Exchange (SGX) has been notified by the National Stock Exchange of India (NSE) of an application made in the Bombay High Court for an interim order to stop trading of selected Indian derivative products on SGX.

” Singapore Exchange and India Stock Exchange NSE to meet in India Court to Decide Fate of Indian Derivative Products “

In February 2018, selected Indian stock exchanges had made announcement to stop licensing Indian stock indices to foreign exchange, with the derivatives affecting direct investments into India. SGX has issued a statement that trading in the products will continue and in June 2018, will list its approved new Indian derivative product.

Michael Syn, Head of Derivatives, SGX
“SGX has a responsibility to provide risk management tools for our global clients and ensure there is no disruption to the marketplace. Our new India equity derivative products are essential to enable institutional investors to maintain their current portfolio risk exposure to the Indian capital markets. We have, from the onset, expressed to NSE that there is a need to maintain liquidity in the international India equity derivatives market, in order to connect international participants to GIFT IFSC. We remain open to working with NSE and other relevant stakeholders to develop a solution that meets the risk management needs of global market participants”

Source: SGX, Nikkei Asian Review