NSE emerges world's 2nd largest bourse in index, stock futures

The National Stock Exchange emerged as the world's second-largest bourse in terms of turnover in trading of index as well as stock futures, according to latest data.

Index and stock futures are generally contracts based on a particular stock or index.

NSE is ranked second in trading turnover for index futures for the month of June, just behind European bourse Eurex, according to market regulator Sebi's July bulletin.

Sebi has cited data from the World Federation of Exchanges (WEF).

In the index futures, the domestic exchange's turnover skyrocketed more than six times to $351.65 billion in June from $47.36 billion in May.

At the third spot was NYSE Liffe Europe ($179.176 billion) followed by Hong Kong exchanges (USD 149.65 billion) and Israel's Tel Aviv stock exchange ($149.55 billion) at fourth and fifth positions, respectively.

On the stock futures front, too, NSE cornered the second position in June with a turnover of USD 54.58 billion. The figure is marginally higher than $53.95 billion recorded in May.

In this segment, NSE was ahead of Eurex ($48.78 billion) while NYSE Liffe Europe was at the top with a turnover of $73.34 billion.   

The rankings are based on data collected for 12 major stock exchanges worldwide.

However, in the index options segment, NSE was at the eighth place with a turnover of $47.33 billion in June -- way lower than the trading seen in May.

In terms of stock options, NSE stood at the fifth place with a turnover of $19.365 billion in June, lower as compared to the previous month.

Options is a derivative where the holder has the right but not the obligation to buy or sell shares.