BSE CEO Prioritizes Market Feedback on Derivatives Expiry Changes
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Synopsis
On March 7, BSE CEO Sundararaman Ramamurthy announced the exchange's commitment to incorporate market feedback before altering the derivatives expiry day. This decision follows NSE's recent changes and highlights BSE's dedication to serving the needs of traders and investors while aiming to innovate and attract more participants to Indian markets.
Key Takeaways
- BSE will consider market feedback for expiry changes.
- NSE's move to Monday sparked discussions.
- Focus on creating a trader-friendly environment.
- AI will play a significant role in future operations.
- Investments in technology and infrastructure are underway.
Mumbai, March 7 (NationPress) The Bombay Stock Exchange (BSE) plans to gather input from market participants prior to making any alterations to the derivatives expiry day, stated its Managing Director and CEO, Sundararaman Ramamurthy, on Friday.
This announcement follows the National Stock Exchange (NSE)'s recent decision to move the expiry day for its futures and options contracts to Monday.
Ramamurthy stressed that the BSE’s actions are consistently guided by the preferences of traders and investors.
“Our principle has always been, ‘we act according to what market participants desire.’ Whatever the customers voice, that’s what we execute,” he conveyed to NDTV Profit.
He also clarified that the BSE would refrain from making any independent decisions regarding expiry dates. “Any adjustments to expiry dates will rely on market feedback. Once we comprehend what the market suggests, we will proceed accordingly.”
The NSE’s alteration has ignited conversations about its possible effects on the BSE’s market share in options trading and revenue.
Nevertheless, Ramamurthy asserted that BSE's main emphasis is not solely on trading volumes but on fostering a well-regulated and investor-centric marketplace.
“Trading volumes are merely a result; the key is to deliver products that fulfill market needs,” he remarked.
He also underscored BSE’s broader aim to enhance the attractiveness of Indian markets for both domestic and international investors.
Ramamurthy noted that numerous Indian investors are currently engaging in trading on foreign exchanges, and BSE is determined to lure them back to Indian markets.
“In the next two years, we aspire to transform BSE into a world-class, customer-centric exchange,” he declared.
The CEO further mentioned that the exchange is investing heavily in technology, infrastructure, knowledge, and automation to realize this vision.
Ramamurthy also discussed the increasing significance of artificial intelligence (AI) in improving exchange operations.
“AI is poised to be immensely beneficial for the exchange. I am confident that AI will assume a crucial role in the near future,” he concluded.
