BSE on Tuesday, 27 February 2018 launched cross-currency derivatives and cross rupee options with a bang. The exchange retained its leadership of currency derivatives segment in India and recorded the highest turnover. Vivek Agarwal, Director, East India securities was the first to executive trade on Futures & Options of cross currencies on BSE Currency derivatives segment.
BSE reported a daily average turnover of around Rs 1098 crore in cross currency derivatives.
Individually, the turnover of cross currency pairs at BSE was around Rs 667 crores for EURUSD, Rs 390 crore for GBPUSD & Rs 41 crore for USDJPY contracts.
In order to encourage wide spread participation, BSE has also decided to waive off transaction charges on cross currency derivative contracts till August 31, 2018, based on feedback received from market participants. As an exchange philosophy, this will reduce the trading and hedging costs for small, medium and large enterprises and will encourage them to use this efficient low cost tool for hedging in the cross currency derivatives.
Recently, BSE had reported a daily average turnover of Rs 24,576.87 crore in its currency segment in the month of January 2018, higher than NSE’s Rs 21,871.05 crore. BSE is already clocking market share of more than 50% in currency derivative segment.
BSE had launched EURUSD, GBPUSD & USDJPY futures & options contracts today. The trading in these contracts is available between 9.00 am and 7.30pm. Availability of such instruments on exchanges will help market participants to hedge their foreign currency exposures effectively.
