National Stock Exchange (NSE) has stated that it will have to wait until the new regulatory framework is fully implemented before considering any new initiatives for its options business.
“SEBI’s regulations are still being rolled out and will continue to be implemented until April. Additional measures may be announced later, making it challenging to assess the future impact on the options business at this time. However, our stock options business is seeing significant growth, and we have recently added more stocks with regulatory approval,” said Ashish Chauhan, MD and CEO of NSE.
Transaction charges from equity options made up 78% of NSE’s total transaction revenue in the quarter ended December. This was followed by cash markets and equity futures, each accounting for 11%.
Addressing the issue of NSE Clearing’s pending dues from BSE, an NSE spokesperson mentioned that the company would need to find a way forward to recover the amount owed. NSE Clearing reported a shortfall of ₹176.65 crore in its minimum liquid assets in December, partially due to the non-receipt of ₹312 crore from BSE.
NSE is still awaiting SEBI’s approval to file the offer document for its IPO. The exchange also disclosed that the capex outlay for adding colocation racks would be around ₹300 crore, to be spent over the next 18-24 months.
The company’s revenue from transaction charges saw a 4% sequential decline in the last quarter, primarily due to reduced volumes in the cash and derivatives segment. NSE expressed confidence in the growth of its stock options business despite the current challenges.
Published on February 5, 2025.
