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NOTICES
Notice No.   20140515-16   Notice Date   15 May 2014
Category   Trading   Segment   Derivatives
Subject   Introduction of Liquidity Enhancement Incentive Programme (LEIPS) – S&P BSE SENSEX Options for BSE Equity Derivative segment
Attachments   LEIPS-Sensex Options Programme Brochure.pdf ; LEIPS-Sensex Options Programme Brochure.pdf ;
Content

 

SEBI pursuant to its Circular no.CIR/MRD/DP/14/2014 dated April 23, 2014 (BSE Notice no: 20140429-6 dated April 29, 2014) revised the guidelines for Liquidity Enhancement Scheme in the Equity Cash & Equity Derivatives Segment.
In view of this, Trading Members are hereby informed that the Exchange is launching the LEIPS- S&P BSE SENSEX Options on May 30, 2014.
The programme incentivizes both MMs and GMPs by payment of cash for their participation as per prescribed terms & conditions.
Active trading members of Derivative segment of the Exchange can follow a simple process to register themselves for this programme as Market Makers (MMs) or as a General market Participant (GMP).
 Registered Market Makers of LEIPS XV, LEIPS- XVI and LEIPS-XVII programme shall have to register themselves as a Market Maker in LEIPS- S&P BSE SENSEX Options programme & expressly indicate their interest to do Market Making under the programme.
The Programme envisages the MMs to have a continuous quoting obligation with specified size and spread in Options contracts on S&P BSE Sensex. The programme offers 4 types of incentives to market participants – 
o   Trading volume based daily cash incentives to MMs & GMPs.
o   Quote based incentives for MMs.
o   Open Interest (OI) based cash incentives paid on daily basis for average daily OI to MMs  and GMPs
o   Lower transaction fees for all active trading members
 
Details of the programme are enclosed herewith as Annexure.
For any further clarifications, Trading member are requested to contact their designated Relationship Managers.
For and on behalf of BSE Limited.

 
Devika Shah
                            
                            Ketan Jantre
Sr. GM-Trading Operations
                            GM-Trading Operations