BSE, MCX shares jump up to 6% after transaction fee revision for brokers

Shares of BSE and MCX soared up to 6 per cent in intraday deals on Tuesday. This comes as both the exchanges have hiked and introduced new transaction charges for brokers across various segments effective from today i.e October 1, 2024. 

BSE Share price surged up to 6.3 per cent at Rs 3,920 per share on the NSE, while MCX shares surged 3.8 per cent at Rs 5,879.55 per share intraday. 

The BSE has raised transaction fees for Sensex and Bankex options contracts to Rs 3,250 per crore of premium turnover. This adjustment is part of a broader change in transaction fee structures outlined in a SEBI circular from July 2024 for Market Infrastructure Institutions (MIIs). 

For the cash market, the NSE will charge Rs 2.97 per lakh of traded value on each side. For equity futures, the fee will be Rs 1.73 per lakh on each side, while equity options will incur a fee of Rs 35.03 per lakh of premium value. This new fee structure aims to create a more uniform and equitable trading environment for all brokers.

India's largest non-agri commodity exchange, the Multi Commodity Exchange of India's (MCX) revised transaction fees for futures and options contracts, will also be effective from today. 

The new fee structure will set the transaction fee at Rs 2.10 per lakh of turnover value for futures contracts, while options contracts will incur a fee of Rs 41.80 per lakh of premium turnover value. The adjustment aims to streamline trading costs for participants in the commodities market.

Apart from these changes, starting October 1, income from share buybacks will be taxed as dividends, increasing shareholders' tax liabilities. The Securities Transaction Tax (STT) on futures will rise to 0.02 per cent and options to 0.1 per cent to curb excessive retail trading. Additionally, SEBI's new T+2 framework allows bonus shares to be traded just two days after the record date, improving liquidity and access for investors.

Financial pulse Q1

The Bombay Stock Exchange (BSE) reported a net profit of Rs 265 crore for Q1 FY2024, a 40 per cent decrease from Rs 443 crore in the same period last year. However, revenue surged 181 per cent to Rs 608 crore compared to Rs 216 crore a year earlier. 

Meanwhile, the Multi Commodity Exchange of India (MCX) announced a net profit of Rs 110.9 crore for the same quarter, reflecting a 26.2 per cent sequential increase from Rs 87.9 crore in the previous quarter. MCX's revenue also rose 29.4 per cent quarter-on-quarter to Rs 234.4 crore, up from Rs 181.1 crore in March 2024.

At 12:09 PM, stock price of the MCX was up 2.69 per cent to Rs 5,812.75 a piece on the NSE, while shares of BSE were trading 5.86 per cent at Rs 3,900.40. By comparison, the NSE’s Nifty was slightly higher by 0.05 per cent at 25,823.35 level.