Markets
Currently, NSE has the following major segments of the capital market:
Equities
- Equities
- Indices
- Mutual Funds
- Exchange Traded Funds
- Initial Public Offerings
- Security Lending and Borrowing Scheme
Derivatives
- Equity Derivatives (including Global Indices like S&P 500, Dow Jones and FTSE )
- Currency Derivatives
- Interest Rate Futures
Debt
- Retail Debt Market
- Wholesale Debt Market
- Corporate Bonds
Equity Derivatives The National Stock Exchange of India Limited (NSE) commenced trading in derivatives with the launch of index futures on June 12, 2000. The futures and options segment of NSE has made a mark for itself globally. In the Futures and Options segment, trading in S&P CNX Nifty Index, CNX IT index, Bank Nifty Index, Nifty Midcap 50 index and single stocks are available. Trading in Mini Nifty Futures & Options and Long term Options on S&P CNX Nifty are also available. The average daily turnover in the F&O Segment of the Exchange during 2009-10 was ` 72,392 crore (US $ 16,097 million)
On August 29, 2011, National Stock exchange launced derivative contracts on the world’s most followed equity indices, the S&P 500 and the Dow Jones Industrial Average. This was the first time that derivative contracts on global indices are available in India. This is the also the first time in the world that futures contracts on the S&P 500 index were introduced and listed on an exchange outside of their home country, USA. The new contracts include futures on both the DJIA and the S&P 500, and options on the S&P 500. The first day volumes at the close of trading on August 29, 2011 at 3.30 pm, on the 2 indices in futures and options contracts was nearly Rs 122 crores (1220 million).
On May 3, 2012,The National Stock exchange launched derivative contracts (futures and options) on FTSE 100, the widely tracked index of the UK equity stock market. This was the first of its kind for an index of the UK equity stock market to be launched in India. FTSE 100 includes 100 largest UK listed blue chip companies and has given returns of 17.8 per cent on investment over three years. The index constitutes 85.6 per cent of UK’s equity market cap. NSE recorded a volume of 500 crores (5000 million) on the 1st day of trading.
Currency Derivatives In August 2008 currency derivatives were introduced in India with the launch of Currency Futures in USD INR by NSE. It also added currency futures in euros, pounds and yen. Interest Rate Futures were introduced for the first time in India by NSE on 31 August 2009, exactly one year after the launch of Currency Futures.
Debt Market NSE became the first stock exchange to get approval for interest rate futures, As recommended by SEBI-RBI committee, on 31 August 2009, a futures contract based on 7% 10 Year Government of India (Notional) was launched with quarterly maturities.
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Famous quotes containing the word markets:
“When the great markets by the sea shut fast
All that calm Sunday that goes on and on:
When even lovers find their peace at last,
And Earth is but a star, that once had shone.”
—James Elroy Flecker (1884–1919)
“A free-enterprise economy depends only on markets, and according to the most advanced mathematical macroeconomic theory, markets depend only on moods: specifically, the mood of the men in the pinstripes, also known as the Boys on the Street. When the Boys are in a good mood, the market thrives; when they get scared or sullen, it is time for each one of us to look into the retail apple business.”
—Barbara Ehrenreich (b. 1941)