Ahmedabad Stock Exchange (ASE) has requested Securities & Exchange Board of India (SEBI) to grant permission for starting NSE F&O trading at it own exchange. | |
| Mitesh M Sheth, Managing Director of ASE, said, "We recently requested SEBI to pave the way for starting NSE F&O trading at ASE." The exchange already has the membership of NSE F&O, but it is awaiting permission from the regulatory body for starting F&O trading at the exchange's premises. |
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| According to Sheth, the stock exchange will gain in terms of the its valuation if the permission for F&O trading is granted. Presently, ASE's daily turnover is about Rs 100 crore and if the F&O trading begins, then the daily turnover could touch Rs 400 crore. |
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| According to Sheth, the stock exchange has already made several official communication to the regulators. "Each time we contact the SEBI, we are informed that due to policy matters the permission is put on hold," adds Sheth. |
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| Sheth complains that other regional stock exchanges like Ludhiana Stock Exchange, Hyderabad Stock Exchange and Bangalore Stock Exchange have already been granted permission for F&O trading, but ASE is yet to receive it. |
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| The ASE is insisting on getting permission for F&O trading as it is important for the exchange at this junction as it is moving towards complete de-mutualisation. |
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| The de-mutualisation process had to be completed by September 14, this year. If the exchange gets the F&O trading permission before that then the valuation of the exchange will be higher which will push the share prices up four to five times, and the exchange can fetch a better price when it dilutes its 51 per cent stake to non-trading members. |
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| Presently, the Ahmedabad Stock Exchange is scouting for strategic investors to dilute its stake. |
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