The Calcutta Stock Exchange is looking at a turnover of R500-1,000 crore per day after it signs a deal with the National Stock exchange early next month.
CSE chairman Dipankar Chatterji said: ?The tie-up with NSE has the potential of pushing the turnover to R500-R1,000 crore per day.? Earlier, the Sebi-appointed administrator, Tushar Kanti Das, also indicated the same.
The average daily turnover in C-Star (CSE?s own trading platform) in May 2011 was around R52 crore. Calcutta Stock Exchange entered into an arrangement with BSE in 2007 and the turnover through the arrangement stood at R10 crore per day as on May this year.
Sanjay Budhia, director of the CSE, said the tie-up with NSE will help in reviving the CSE. ?The average daily turnover prior to the arrangement with BSE was around R3 crore which has jumped to R52 crore now,? he said.
While the Securities and Exchange Board of India (Sebi) has in principle approved the same, it has asked CSE to amend its by-laws. Once the amendments are approved the arrangement will be notified in the gazette.
?While the arrangement will help CSE members to trade on NSE platform, they will also be able to issue contract notes in their own company name,? Budhia said. Apart from that, all CSE trading members will be able to appoint dealers or sub-brokers.
According to Budhia, with active trading in derivative segment on NSE, trading volumes of CSE?s trading members is likely to increase substantially. The oldest regional stock exchanges in the country went into red in 2001. The exchange suffered after the payment crisis broke following Ketan Parekh episode.
Following the requirement of Sebi directives in 2007, CSE went for demutualisation.
The objective was to segregate trading, ownership and management of the exchange through a number of measures.
