USE garners 22% market share in currency derivatives

The United Stock Exchange (USE), the country’s youngest bourse, on Monday said it had reached about 22 per cent market share in the segment.

The exchange was completing its first year of operations on September 20 with nearly 438.95 million contracts traded, said a statement by USE, adding that its market share in currency futures had grown steadily, stabilising at an average of 22 per cent in recent months.

The average daily trading volume on the exchange was in excess of Rs 10,000 crore. The exchange had successfully completed 245 trading and clearing cycles in its first year of operations, the release said.

USE was launched on September 20, 2010, with an opening-day volume of 9.88 million contracts. This is a world record for first-day trading at any new exchange. Since then, month-on-month volume has steadily increased.

“In the last one year, we have expanded our membership base which has helped us inch closer to our founding vision of emerging as India’s most preferred stock exchange, bringing together the entire financial community. “As we enter our second year of operations, we look forward to playing a more crucial role in the ever-evolving and vibrant financial landscape,” USE MD & CEO T S Narayanasami said.

USE’s stakeholders include BSE, 28 banks and three major corporate houses. Recently, Standard Chartered Bank also came on board as a shareholder, representing its first strategic investment in an exchange.

Till date, the exchange has received 550 membership applications and has 372 trading members registered with the Securities and Exchange Board of India (Sebi), with 52 Sebi-registered clearing members.