Market regulator SEBI has issued a circular directing the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) to act as alternative trading platforms in case of technical issues.
Starting April 1, 2024, if trading is disrupted on one exchange, it will seamlessly shift to the other.
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How the Rule Works
Under the new rule:
1) If a technical problem halts trading on BSE, the shares listed on BSE will be traded on NSE.
2) Similarly, if NSE faces a technical issue, its listed shares will be traded on BSE.
SEBI has also instructed both exchanges to release a Standard Operating Procedure (SOP) within 60 days to implement this rule effectively.
Reserve Lists for F&O Trading
According to the circular, NSE must prepare a reserve list of BSE-listed shares, and BSE must create a reserve list of NSE-listed shares.
This will ensure smooth functioning of Futures and Options (F&O) trading. If a technical issue arises, the affected exchange must inform the other within 75 minutes to facilitate the shift.
Changes in Transaction Fees
SEBI has also announced updates to transaction fees for both cash and derivatives trading:
NSE Fees
Cash market: ₹2.97 per ₹1 lakh traded value.
Equity derivatives (Futures): ₹1.73 per ₹1 lakh traded value.
Equity derivatives (Options): ₹35.03 per ₹1 lakh premium value.
Currency derivatives: ₹0.35 per ₹1 lakh traded value.
Currency and Interest Rate Options: ₹31.1 per ₹1 lakh premium value.
BSE Fees
1) Currency derivatives (Futures): ₹45 per ₹1 crore turnover.
2) Currency derivatives (Options): ₹100 per ₹1 crore turnover.
These changes aim to ensure smoother operations and better cost management for market participants.