BSE to launch options on WTI crude oil, Brent crude oil futures on Oct 9

These commodity contracts will provide market participants an efficient way to manage their commodity price risk against volatility, BSE said in a statement

Leading stock exchange BSE on Friday said it will launch options contracts on underlying WTI crude oil and Brent crude oil futures from October 9.

In addition, the exchange will introduce Futures contracts on base metals such as copper, zinc, aluminium.

These commodity contracts will provide market participants, particularly corporates, value chain participants and foreign portfolio investors, an efficient way to manage their commodity price risk against volatility, BSE said in a statement.

Earlier, the stock exchange introduced Brent crude oil futures contracts in the commodity derivatives segment.

Earlier in the day, the National Stock Exchange (NSE) announced that it will launch options contracts on underlying WTI crude oil and natural gas futures in the commodity derivatives segment from October 9.

Separately, BSE said that Investor Risk Reduction Access (IRRA) has been made accessible to trading members across exchanges from October 3.

The platform will help investors in case there is a disruption of services caused by systems belonging to trading members.

"IRRA platform will be available to the trading members supporting Internet Based Trading (IBT) and Security Trading through Wireless Technology for their investors. IRRA will not be available for Algo trading and Institutional clients," BSE said.

Under the guidelines, trading members, upon facing technical glitches, which lead to disruption of trading services, can request for enablement of the IRRA service.

Once IRRA service is authorised, the investors concerned can square off/close the open positions across segments and exchange/s and/or cancel the orders across segments, which are pending at the exchange.