A new stock exchange,United Stock Exchange of India, has been promoted by Bank of India, Canara Bank, Andhra Bank, Bank of Baroda, Allahabad Bank, Indian Overseas Bank and Oriental Bank of Commerce jointly with MMTC. Other shareholders include Standard Chartered Bank, Federal Bank, TCS and STCI.
This exchange is expected to come on line this month and is the fourth Currency Futures exchange after BSE, NSE and MCX-SX. For offloading the rest of the stake, the exchange is understood to be in talks with Chicago Mercantile Exchange, the world’s largest financial exchange.
Currently, volumes on the existing currency futures exchanges are just $0.5 billion which is 1/10th of the $50-billion volume on the over-the-counter currency forward market.The objective of this new exchange is to get different constituents of the market onto the currency platforms, and thereby increase participation. Currently, participation comes from the stock and commodity market players with many brokers, including banks, running proprietary books to increase currency volumes.
You can access the website at United Stock Exchange of India
Good move by SEBI, to bring in competition.
Interesting development on the currency futures front.