HIGHLIGHTS OF NSE

NATIONAL STOCK EXCHANGE OF INDIA LIMITED NEWSLETTER

September 2009

ARTICLES
Mutual Funds– Are they for Mutual Benefit? By Anupam Mitra, Deputy Director, Ministry of Finance
The article analyses various facets of the growth experience of the mutual fund industry. It attempts to answer questions such as:
has the industry been successful in carrying forward the objective with which it commenced operations; how has
it evolved over the years; what have been its unique selling propositions; have the innovative products created by the industry
served the purpose of the investors and how has the industry responded to the challenges and opportunities confronting it?

SPOTLIGHT

NSE Launches Interest Rate Futures

Þ On August 31, 2009, NSE launched Interest Rate Futures (IRFs) for trading on the currency derivatives segment
On its first day of trading, IRFs recorded 1,475 trades in 14,559 contracts traded at a total value of Rs.267.31 crores
Þ
Out of the two quarterly contracts available for trading, December 2009 was the most active with 13,789 contracts being
Þ
traded

R E G U L ATO RY C H A N G E S

Introduction of payment of commission for Application Supported by Blocked Amount (ASBA) in issue process
Þ
Exit load parity established for all mutual fund holders
Þ
SEBI amends rights issue norms
Þ
Deadline for approved users of currency derivatives segment to obtain NISM Series-I:Currency Derivative Certification
Þ
extended from August 10, 2009 to September 30, 2009

NSE NEWS
No additional deposits required by clearing members for currency derivatives segment on behalf of trading member
Þ
NSE introduces functionality to put orders with Disclosed Quantity in currency derivatives segment
Þ
Change in Index
Þ

NCFM NEWS
NCFM launches tests for 'Financial Markets: A Beginners' Module' in Gujarati & Hindi languages
Þ
NSE introduces NCMP (NSE's Certified Market Professional) Certification
Þ

I N T E R N AT I O N A L N E W S
Deutsche Börse Systems launches ultra-low latency infrastructure connecting the financial centers-London and
Þ
Frankfurt
Financial Industry Regulatory Authority (FINRA) fines Credit Suisse $275,000 for failing to comply with terms
Þ
of global research analyst settlement agreement
FINRA & Securities and Exchange Commission warn retail investors about investing in leveraged or inverse
Þ
exchange traded funds
Osaka Securities Exchange revises futures & options trading rules and introduces new derivatives trading system
Þ
Bursa Malaysia, CME Group to establish strategic partnership in derivatives markets
Þ
Deutsche Bank lists first money market exchange traded fund on Singapore Exchange
Þ
 HIGHLIGHTS OF NSE NEWSLETTER
September 2009

MARKET REVIEW
Performance of select sectors vis-a-vis Nifty
Nifty Movements vis-a-vis other International Indices 230 (Rebased to 100 for March 31, 2009)

(Rebased to 100 for March 31, 2009) 210

170 190
170
150 150
130
130
110
110 90
70
90 50
31-Mar-09 30-Apr-09 30-May-09 30-Jun-09 31-Jul-09 31-Aug-09 31-Mar-09 30-Apr-09 30-May-09 30-Jun-09 31-Jul-09 31-Aug-09
CNX IT CNX FMCG INDEX
Nifty Dow Jones NIKKIE Hang seng Nasdaq S&P CNX Finance S&P CNX Petrohemicals
S&P CNX Pharmaceuticals CNX Bank Nifty
CNX Infrastructure S&P CNX Nifty

Capital Market Segment F&O Segment

5000 300 18000 1000
Avg. Daily Trading Value

Avg. Daily Trading Value

250 15000
800
Trading Value

4000 Tradin g Valu e

200 12000
3000 600
150 9000
2000 6000 400
100

1000 50 3000 200

Jan-09
Feb-09
Mar-09
Apr-09
May-09
Jun-09
Jul-09
Aug-09
Jul-08
Aug-08
Sep-08
Oct-08
Nov-08
Dec-08

Jan-09
Feb-09
Mar-09
Apr-09
May-09
Jun-09
Jul-09
Aug-09
Jul-08
Aug-08
Sep-08
Oct-08
Nov-08
Dec-08
Currency Derivatives Segment WDM Segment
1000 50 600 30
Avg. Daily Trading Value

Avg. Daily Trading Value

800 40 500 25
Trading Value
Trading Value

400 20
600 30
300 15
400 20
200 10
200 10 100 5
0 0 0 0
Jan-09
Feb-09

Mar-09
Apr-09

May-09

Jun-09
Jul-09
Aug-09
Sep-08

Oct-08
Nov-08

Dec-08

Jan-09
Feb-09
Mar-09
Apr-09
May-09
Jun-09
Jul-09
Aug-09
Jun-08
Jul-08
Aug-08
Sep-08
Oct-08
Nov-08
Dec-08

Trading Value (Rs.hundred crore) Avg. Daily Trading Value (Rs.hundred crore)

NSE MARKET STATISTICS NSE's GLOBAL RANKINGS

Turnover for Percentage Average daily Market Parameters Rank
August 2009 Change over Turnover Capitalisation Single Stock Futures 3
rd

Segments (Rs.crore) July 2009 (Rs. crore) (Rs.crore) Stock Index Options 3
rd

rd
CM 364,969 -14.36 17,379 4,975,800 Stock Index Futures 3
th
WDM 38,232 -25.36 1,912 2,970,459 No. of Trades 4
th
Market Capitalisation 12
F&O 1,473,646 -6.35 70,174
Source: WFE (Rankings done for the period Jan – Jun 2009).
CDS 90,396 -6.35 4,520 Ranking for single stock futures, stock index options and
TOTAL 1,967,243 -8.39 stock index futures is based on number of contracts traded.

Prepared by SBU-EDUCATION
National Stock Exchange of India Ltd.
Exchange Plaza, Bandra Kurla Complex, Bandra (E) Mumbai - 400051
022-26598163
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