NCDEX issues norms to address cartelisation

The National Commodity and Derivatives Exchange (NCDEX) on Tuesday issued a financial conduct framework which is expected to contribute directly in making the futures market transparent and less vulnerable to manipulation.

 

The exchange guidelines clarify the definition of “persons acting in concert” and the rules for clubbing of open positions. These guidelines will help prevent circumvention of the stipulated position limit norms by clients/members, the exchange said in a statement.

 

Further to several enhancement measures to strengthen risk management and surveillance framework, these guidelines are also designed to curb 'benami' account trading