Tuesday, March 2, 2021

NSE to launch derivatives on Nifty Financial Services Index from Jan 11

- Advertisement -

Bourses to levy more margin on high promoter-pledged stocksMumbai, Dec 10 (IANS) The National Stock Exchange of India (NSE) on Thursday said it has received an approval from the Securities Exchange Board of India (SEBI) to launch derivatives on the Nifty Financial Services Index in the ‘futures & options’ segment of the exchange.

Currently, the NSE offers index derivatives on only two equity indices ‘Nifty 50 Index’ and the ‘Nifty Bank Index’.

The exchange will launch the index derivatives from January 11, 2021.

As per the NSE, the financial services sector assumes significance as the sector accounts for 33.5 per cent of the Nifty 500 index.

READ ALSO:  [Hindi] लॉकडाउन में अर्थव्यवस्था के मुकाबले स्वास्थ्य सर्वोपरि : नायडू

“The Nifty Financial Services Index comprises of 20 stocks and is designed to reflect the behaviour and performance of the Indian financial market which includes banks, financial institutions, housing finance, insurance companies and other financial services companies,” the NSE said in a statement.

Recent investment data of Foreign Portfolio Investors (FPIs) indicates that 48 per cent of new investment flows were channelised into the financial services sector, as per the statement.

“The sector accounted for 35 per cent of the assets under the custody of FPIs. Further, many of the asset management companies have mutual fund schemes on the financial sector theme.”

READ ALSO:  India’s economic fundamentals remain strong, says BSE chief

“The Nifty Financial Services index has a 94 per cent correlation and a beta value of 1.2 with the Nifty 50 Index. It has a correlation of 98 per cent with the Nifty Bank index. The Nifty Financial Services index has delivered annualised returns of 14.99 per cent in the last 5 years.”

According to the exchange, it will offer ‘futures and options’ in seven serial weekly excluding the monthly expiry and three serial monthly contracts.

READ ALSO:  Farm Bills: Ahead of Rajya Sabha showdown, BJP issues whip

“This is the first time that the exchange will make available weekly futures for the stock index derivatives,” the statement said.

Source: IANS

India Updates
India Updates is an independent news & Information website. Follow us for regular updates on News and Information.

Follow Us On

Related News


Please enter your comment!
Please enter your name here

Trending Topics In India

Covid 19 India Updates

Trending News In India

Trending Showbiz

Trending Sports

Latest Trending News In India

Vaccine acceptance high among Indian women

New York, Mar 2 (IANS): AS India has started rolling out the next phase of its Covid-19 vaccination drive for people above 60 years of...

Spectrum Auction: Govt gets bids worth Rs 77,814 cr

New Delhi, March 2 (IANS) As the Department of Telecommunications (DoT) completed the spectrum auction on Tuesday, government receives bids worth Rs 77,814 crore...

Over 2L doses administered to senior citizens, 45+

New Delhi, March 2 (IANS) As many as 2,08,791 doses of Covid vaccine have administered to people above 60 years of age and the...

Over 50 lakh registered on Co-WIN: Health Ministry

New Delhi, March 2 (IANS) Around 50 lakh people have self-registered for vaccination through CoWIN since the portal was opened for registration, Ram Sevak...