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Asia's oldest stock exchange has changed the incentive scheme it had put in place to draw volumes to its trading platform.
It has discontinued one of two incentive schemes for dealers who execute their trades on the exchange. The discontinued scheme required a minimum daily turnover of Rs 3 crore and monthly volumes of Rs 75 crore.
The revised scheme, which will be operational effective from November 1, will operate in two tranches. One will require minimum daily turnover requirement of Rs 10 lakh and the second Rs 25 lakh. The incentive is Rs 100 per day per qualified dealer for the first segment, and Rs 250 for the second one.
Both client and proprietary trades are allowed under the scheme. However, algorithmic trading is not allowed under the scheme.
The daily incentive pool is Rs 2 lakh.
"Once total incentive as per this scheme crosses the daily pool, incentives shall be paid pro-rata thereafter," said the notice.
The dealers are all paid cumulatively at the end of the month on the basis of their activity.
The scheme is part of the BSE's Liquidity Enhancement Incentive Programmes or LEIPs.
Those availing of the scheme can trade on the futures contracts on which LEIPS scheme is running and equity scrips specified by the exchange and the regulator, said the notice.
