NSE extends scheme to reward members on governance standards

The National Stock Exchange (NSE) has extended its scheme -- MORE -- to reward trading members for maintaining a high degree of governance standards on a continuous basis, for six months starting today.
Based on positive feedback from members, it has decided to include currency options as part of the scheme.
The programme was launched on a pilot basis for trades in the currency futures segment from September 1, 2015 to March 31, 2016. Now, the scheme has been extended for a period starting from April 1 to September 30.
Besides, it will be offered for currency options, the exchange said in a circular.

The move is part of the exchange's efforts to bring in new initiatives for growth and development of market and encourage healthy compliance and governance standards.
The transaction charges for all the members -- irrespective of the registration -- for all trades done in currency futures will continue to be Rs 1.10 per lakh of traded value while the same for currency options will be Rs 40 per lakh of premium value.

Trading members will have to register by April 15 so as to avail of benefits for currency options with immediate effect.
"Trading members registered on the 1st calendar day of any month will be eligible for the benefit under the scheme immediately with effect from the same month," NSE said.

"However, any registrations under the scheme in between the month will be eligible to avail the benefit of the scheme with effect from the 1st trading day of the subsequent month."
A member registered for the scheme will earn points on a monthly basis by satisfying certain criteria. At least four out of six compliance parameters should be met on all days of the month.
Besides, the stock broker will have to be active on 90 per cent of trading days in currency options, or average daily turnover will have to be Rs 50 lakh crore in this segment.
Among the six criteria that need to be complied with in order to earn points, trading members should not violate margin as well as position limit.

Besides, there should be participation in regular monthly mock trading in order to avail of points.