MCX prepares Rs 10-bn war chest ahead of universal exchange implementation

Cash reserves will help it meet competition; exchange eyes currencies in phase-1, plans more options, index derivatives

MCX preparing war chest to face competition

Rajesh Bhayani

Mumbai, 18 January

The Multi Commodities Exchange (MCX) says it is readying a war chest of cash to compete with major stock exchanges once the universal exchange concept is implemented by the regulator.

MCX currently has a little over Rs 10 billion in free cash. The BSE has already announced a plan for commodities trade and also plans to start mock trading from January 29, even as the Securities and Exchange Board of India (Sebi) is yet to issue guidelines for a universal exchange. Once norms for the latter are issued, equity and commodities exchanges