New Delhi: The Delhi Stock Exchange (DSE) is in talks with the Calcutta Stock Exchange for a possible tieup, said DSE president Bharat Bhushan Sahny. Thanks to the stiff competition from the two premier exchanges of the country, NSE and BSE, the two exchanges are forming a `trading platform' to face the challenge from their big brothers.``We are in talks with CSE for a common trading platform. This will be an online arrangement between the two stock exchanges. The details of the tieup will be finalised in a week,'' Sahney told the Financial Express.
Broker members can trade using this common platform and the two exchanges will be accountable for honouring each trade, he said. This mechanism is 100 per cent risk-free as the trade guarantee fund will take care of any defaults, Sahny said.
The tieup will be done between DSE and CSE and not through their subsidiaries. At present, DSE has a daily turnover of Rs 500 crore and CSE has a daily turnover of Rs 2000 crore.
DSE is also in the process of finalising an arrangement with NSE and BSE through its proposed subsidiary, DSE Securities Ltd. This arrangement will facilitate DSE members to trade on NSE and BSE terminals. ``Exclusive DSE broker members are definitely going to benefit from this arrangement.
DSE members can trade on NSE and BSE terminals and the cost to each member will be low,'' Arun Gupta, DSE broker, said.
DSE's decision to expand outside Delhi seems yielding results. The exchange is increasing its presence outside Delhi and has 80 trading terminals outside Delhi. Of the total turnover of DSE, these terminals are generating around 25-30 per cent, Sahny said.
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.