0% found this document useful (0 votes)
36 views21 pages

NSE Establishment and Operations Overview

The National Stock Exchange of India (NSE) was established in 1992 as a leading stock exchange. It operates electronic trading platforms for equities, derivatives, debt securities, and currency derivatives. The NSE aims to provide equal access to investors across India through use of technology. It has stringent listing requirements and facilitates trading in over 1,300 listed companies from diverse industries. Key indexes tracked on NSE include S&P CNX Nifty, CNX Nifty Junior, and CNX 500. The exchange has played an important role in modernizing stock trading in India.

Uploaded by

SyncOYL
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
36 views21 pages

NSE Establishment and Operations Overview

The National Stock Exchange of India (NSE) was established in 1992 as a leading stock exchange. It operates electronic trading platforms for equities, derivatives, debt securities, and currency derivatives. The NSE aims to provide equal access to investors across India through use of technology. It has stringent listing requirements and facilitates trading in over 1,300 listed companies from diverse industries. Key indexes tracked on NSE include S&P CNX Nifty, CNX Nifty Junior, and CNX 500. The exchange has played an important role in modernizing stock trading in India.

Uploaded by

SyncOYL
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd

1

PRESENTATION
ON

By: Tejasvini khemaji (49


Sneha kakatkar (39)
Sneha sutar (40)
Sangeeta kamat (32)
2
3

ESTABLISHMENT

• The National Stock Exchange of India was promoted


by leading Financial institutions at the best of the
Government of India, and was incorporated in
November 1992 as a tax-paying company.
In April 1993, it was recognized as a stock exchange
under the Securities Contracts (Regulation) Act, 1956.
NSE commenced operations in the Wholesale Debt
Market (WDM) segment in June 1994.

The Capital Market (Equities) segment of the NSE


commenced operations in November 1994, while
operations in the Derivatives segment commenced in
June 2000.
5

PURPOSE
 Establishing a nationwide trading facility for all types
of securities.
 Ensuring equal access to investors all over the country
through an appropriate communication network.
 Providing for a fair, efficient and transparent securities
market using electronic trading system
 Enabling shorter settlement cycles.
 Meeting up with international benchmarks and
standards.
6

MARKETS
Currently, NSE has the following major segments of
the capital market:
• Equity
• Futures and Options
• Retail Debt Market
• Wholesale Debt Market
• Currency future
7

TRADING HOURS
• NSE's normal trading sessions are conducted from
9:00 am India Time to 3:30 pm India
8

INDEX

• S&P CNX Nifty (Standard & Poor's CRISIL NSE


Index)
• CNX Nifty Junior
• CNX 100 (= S&P CNX Nifty + CNX Nifty Junior)
• S&P CNX 500 (= CNX 100 + 400 major players
across 72 industries)
• CNX Midcap (introduced on 18 July 2005)
9

NATIONAL FIRST FIFTY


COMPANIES
TATA Motors
Ranbaxy
TATA steel
Grasim Inds.
Axis bank
GAIL
NTPC
Siemens
BPCL
IDBI
CIPLA
HERO HONDA
other co.
10

LISTING

• Every NSE listed company is required to satisfy


stringent financial, public distribution and
management requirements.

• High listing standards foster investor confidence and


also bring credibility into the markets.

• NSE plays an important role in helping an Indian


companies access equity capital, by providing a
liquid and well-regulated market.
11

CONT'D
• NSE has about 1319 companies listed representing
the length, breadth and diversity of the Indian
economy which includes from hi-tech to heavy
industry, software, refinery, public sector units,
infrastructure, and financial services.

• Listing on NSE raises a company’s profile among


investors in India and abroad. Trade data is
distributed worldwide through various news-vending
agencies. More importantly,NSE lists securities in its
Capital Market (Equities) segment and its Wholesale
Debt Market segment.
12

INDICATIONS
• An upbeat economy is usually reflected in a strong
performance of the Nifty Index.
• A rising index is also indicative that the investors are
enthusiastic about the future.
• The Nifty Index is based upon solid economic
research.
• It is internationally respected and recognized as a
pioneering effort in providing simpler understanding
of stock market complexities.
ADVANTAGES OF TRADING AT NSE
• Integrated network for trading in stock market of
India.
• Fully automated screen based system that provides
higher degree of transparency.
• Investors can transact from any part of the country at
uniform prices.
• Greater functional efficiency supported by totally
computerized network.
14

MARKET SEGMENTS
• The Wholesale Debt Market segment provides the trading
platform for trading of a wide range of debt securities.
• The Capital Market segment offers a fully automated
screen based trading system, known as the National
Exchange for Automated Trading (NEAT) system. This
operates on a price/time priority basis and enables
members from across the country to trade with enormous
ease and efficiency.
15

• The Futures & Options segment of NSE provides


trading in derivatives instruments like Index Futures,
Index Options, Stock Options, Stock Futures and
Futures on interest rates.
16

INNOVATIONS
• Being the first national, anonymous, electronic limit
order book (LOB) exchange to trade securities in India.
Since the success of the NSE, existent market and new
market structures have followed the "NSE" model.

• Setting up the first clearing corporation "National


Securities Clearing Corporation Ltd." in India. NSCCL
was a landmark in providing innovation on all spot
equity market (and later, derivatives market) trades in
India.

• Co-promoting and setting up of National Securities


Depository Limited, first depository in India

• Setting up of S&P CNX Nifty.


17

• NSE pioneered commencement of Internet Trading in


February 2000, which led to the wide popularization
of the NSE in the broker community.

• Being the first exchange that, in 1996, proposed


exchange traded derivatives, particularly on an equity
index, in India. After four years of policy and
regulatory debate and formulation, the NSE was
permitted to start trading equity derivatives.

• Being the first and the only exchange to trade GOLD


ETFs (exchange traded funds) in India.
• NSE has also launched the NSE-CNBC-TV18 media
centre in association with CNBC-TV18.
18

QUICK FACTS ABOUT NSE


Ranks 04th in the world, in terms of number of
transactions executed on a stock exchange, after
NASDAQ, NYSE and Shanghai SE.

Ranks 2nd in the world, in terms of the number of


contracts traded in Single Stock Futures.

Ranks 03rd in the world, in terms of no. of contracts


traded, in Stock index Futures.

Ranks 2nd in Asia, in terms of no. of contracts traded,


in equity derivatives instrument.
19

CERTIFICATIONS
• NSE also conducts online examination and awards
certification, under its programmes of NSE's Certification
in Financial Markets (NCFM).

• Currently, certifications are available in 19 modules,


covering different sectors of financial and capital markets.
Branches of the NSE are located throughout India.
20

REQUIREMENT

• DEMAT ACCOUNT & Trading Account


• Companies
21

THANK YOU

You might also like