Mumbai, 18 May 2018: National Stock Exchange of India (NSE) becomes the first Indian stock exchange to be part 30 exempted by Commodity Futures Trading Commission (CFTC).
The CFTC exemption enables NSE members to trade in derivatives for US clients.
The Commodity Futures Trading Commission (CFTC) issued a Part 30 exemptive order dated May 17, 2018 to the National Stock Exchange of India (NSE) as part of its program of regulatory deference to foreign regulatory frameworks. Part 30 exemptive program of CFTC provides U.S. customers with increased access to foreign futures markets.
The order issued to NSE permits its members to accept U.S. customer funds directly for the purpose of trading in futures and options contracts on NSE without the members having to register with the CFTC as a futures commission merchant. The relief is based on the finding by the CFTC that the local laws and regulations in India applicable to NSE members provide a comparable level of customer protection, including licensing standards, minimum financial requirements, and robust compliance programs.
About National Stock Exchange of India Limited (NSE):
The National Stock Exchange of India Ltd. (NSE) is the leading stock exchange in India and the third largest in the world by nos. of trades in equity shares in 2017, according to World Federation of Exchanges (WFE) report. NSE was the first exchange in India to implement electronic or screen-based trading. It began operations in 1994 and is ranked as the largest stock exchange in India in terms of total and average daily turnover for equity shares every year since 1995, based on SEBI data. NSE has a fully-integrated business model comprising exchange listings, trading services, clearing and settlement services, indices, market data feeds, technology solutions and financial education offerings. NSE also oversees compliance by trading and clearing members with the rules and regulations of the exchange. NSE is a pioneer in technology and ensures the reliability and performance of its systems through a culture of innovation and investment in technology. NSE believes that the scale and breadth of its products and services, sustained leadership positions across multiple asset classes in India and globally enable it to be highly reactive to market demands and changes and deliver innovation in both trading and non-trading businesses to provide high-quality data and services to market participants and clients.