Participation of Members of the Exchange to act as “Authorised Stock Brokers” (ASB)

SEBI vide circular no. SEBI/HO/CDMRD/DMP/CIR/P/2018/134 dated October 09, 2018 has decided to permit foreign entities having actual exposure to Indian commodity markets, to participate in the commodity derivative segment of recognized Stock Exchanges for hedging their exposure. Such foreign entities shall be known as “Eligible Foreign Entities” (EFEs).

The EFEs desirous of taking hedge positions in Indian commodity derivatives market shall approach ASBs from amongst the Brokers which are registered under SEBI (Stock broker and sub-brokers) Regulations, 1992 having minimum net-worth of INR 25 crores and are authorized by the Exchanges for opening of such accounts.

Any existing eligible Member (in terms of the aforesaid SEBI circular) desirous to act as an ASB shall apply to the Exchange-Membership Department for obtaining authorization of the Exchange, with the following documents:

  • Application Form and Undertaking (refer Annexure 2)
  • Networth Certificate and Computation of Networth (not older than six months) (refer Annexure 3)


SN Date Circular Ref. no. Subject
1 Oct 9, 2018 SEBI/HO/CDMRD/DMP/CIR/P/2018/134  Participation of Eligible Foreign Entities (EFEs) in the commodity derivatives market.
2 Oct 9, 2018 MCX/TRD/420/2018  Participation of Eligible Foreign Entities (EFEs) in the commodity derivatives market.
3 Nov 13, 2018 MCX/MEM/471/2018  Participation of Members of the Exchange to act as “Authorised Stock Brokers” (ASB)
4 Nov 15, 2018 MCX/INSP/474/2018  Client Registration Documents for Eligible Foreign Entities (EFEs)
5 Dec 04, 2018 MCX/TRD/511/2018  Hedge Policy for Eligible Foreign Entities (EFEs)

56,074

Authorised Person

 

Member friendly approach with quality processing

You might be interested in ...

Compliance
Guide

Need Assistance?

Please contact

022-6649 4080
022-6726 9566/67