Interoperability delays release of market data by stock exchanges

The implementation of interoperability at clearing corporations has resulted in the late release of market data by stock exchanges. Typically, the data is released a few hours after market close. However, in the past few days, market participants have complained that there has been a delay of several hours in the release of data. 

Interoperability allows trading members to opt for a clearing corporation of their choice, irrespective of the stock exchange where they execute trades. While NSE has a virtual monopoly in the futures and options (F&O) segment, some of the trading members have opted for clearing corporations backed by BSE and the Metropolitan Stock Exchange of India.

Sources say this has complicated matters, as three exchanges have to collate and release the data, as compared to the earlier system where exchanges used to do it at their respective ends. The National Stock Exchange (NSE) has said things would stabilise soon. “With introduction of interoperability, one of the most significant new developments in the capital market, market data is being shared only after rigorous checks. Data file sharing on the NSE website, after implementation of interoperability in equity and F&O segments, is getting stabilised,” said a spokesperson.