Trading turnover on BSE’s India INX crosses USD 24 billion mark

New Delhi: BSE’s India International Exchange (India INX), India’s first international exchange based in the International Financial Services Centre (IFSC) at Gujarat International Finance Tec-City (GIFT City) has achieved a major milestone in March 2018 when its cumulative total trading turnover crossed the USD 24 billion mark driven by a substantial jump in its trading volume which increased to over 1.5 million contracts. India INX has maintained its leadership as the No. 1 exchange in IFSC GIFT City with an overall market share of 72.4% for the period from November 01, 2017 to March 16, 2018.

The trading volume on the India INX markets reached 1 million contracts in 260 trading days; whereas, the 1.5 million contracts mark was achieved in the next 39 trading days. Similarly, the trading turnover on the INX markets reached USD 10 billion in 235 trading days, as compared to the next USD 10 billion mark, which was achieved in the subsequent 40 trading days itself. The compounded monthly growth rate of the India INX trading volume for the period between October 2017 and February 2018 was 54 per cent per month, indicating the rapid growth in the India INX derivatives segment primarily due to the increase in the exchange membership and overall market participation. The trading turnover (USD 11.9 billion) in the first 54 trading days of the calendar year 2018 is already 97% of the total trading turnover (USD 12.3 billion) for the entire year 2017 (245 trading days).

The India INX Futures are currently available on the SENSEX, SENSEX 50, Gold, Silver, Brent Crude Oil, Euro dollar, British Pound, Japanese Yen, 107 Indian equity stocks as well as international equities such as Apple, Microsoft, Facebook, Google and JP Morgan. Option contracts have also been launched on several of these products.

Commenting on the milestone, Balasubramaniam V, the MD & CEO of the India INX, said: "The substantial increase in trading volume and open interest on the India INX derivatives segment further reinforces our leadership in the IFSC GIFT City. This is a clear indication of the effectiveness of our strategy and showcases our capability to become a leading international derivatives exchange in the years ahead.”

The exchange has received over 100 applications for membership with 50+ active members trading in the derivatives segment as on date. With the Government of India in its Union Budget 2018 announcing several tax incentives including abolition of capital gains tax and the establishment of a Unified Authority for regulation, IFSC GIFT City is on the threshold of emerging as a globally renowned financial marketplace for attracting foreign institutional investors and high net worth individuals to trade across multi-assets.

With products spanning across multi-asset classes such as equities, commodities, currencies and debt securities, India INX has become the de facto alternative destination for global investors as compared to international financial centres such as Singapore, Hong Kong, Dubai, New York and Chicago.