The Calcutta Stock Exchange (CSE) plans to join the Paris-based International Federation of Stock Exchanges (FIBV), a trade organisation for regulated securities and derivative market world-wide.
CSE executive director Tapas Datta said the exchange is trying to get the details of eligibility criteria for becoming a member of the international federation which accounts for over 97 per cent of world stock market capitalisation. FIBV generally offers affiliate membership to interested exchanges first and full-fledged membership later.
As FIBV membership identifies each securities market as having world-class business standards and well-recognised by users of markets, the proposed membership will help CSE boost its image worldwide.
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Secondly, the coveted membership will, in one stroke, push CSE to the same league of FIBV members, namely Nasdaq, New York, Chicago, Toronto, Canada, Montreal stock exchanges, said a member of the bourse.
Industry sources said the proposed move will help CSE sort out problems with regulator, central bank and union ministries as the federation has business relations with these authorities.
Total membership of FIBV encompasses 51 exchanges across the globe. There are a further 16 affiliate exchanges waiting to become members and another 30 bourses which are corresponding emerging markets.
FIBV represents the interest of its members with the apex organisations like the International Capital Markets Group, the International Organization of Security Commission and the World Bank. It also maintains close contact with regional organizations like ASEA ( African Stock Exchanges association), EAOSEF (East Asian and Oceanic Stock Exchange Federation), FESE (Federation of European Stock Exchanges), FEAS ( Federation of Euro-Asian Stock Exchanges) and FIABV( Ibero-American Federation of Stock Exchanges).
FIBV goals include:
* To demonstrate the role, the functioning and integrity of regulated markets.
* To maintain a platform for securities markets professional to discuss issues of common interest, to identify new approaches and solutions which enhance the competitive position of regulated markets, and to develop programmes which support stock exchange operations, including benchmarking, quality standards and best practices.