Media Release
BSE inks MoU with BNY Mellon
Mumbai, September 26, 2014: Asia’s first & fastest stock exchange, BSE has signed a Memorandum of Understanding (MoU) withTHE BANK OF NEW YORK MELLON, a New York based banking corporation. This MoU was signed in New York on 26 day of September 2014.
As per this MoU, BNY Mellon will work with BSE to provide collateral management solutions to enable investors to provide collateral which is traded outside of India to the BSE.
The MOU would allow for acceptance of "AAA" rated foreign sovereign bonds, as approved by the regulators RBI and SEBI, as collateral for trades done on BSE. This enablement is expected to increase the ease for foreign investors operating in Indian market and is expected to reduce their costs of collateral and trading in Indian markets significantly over a period of time.
With the signing of this MOU, BSE and BNY Mellon aim to enhance the trading experience for the foreign institutional and retail investors and bring Indian practices in line with the best in the world.
BSE, the largest stock exchange in the world in terms of listed companies, in its endeavor to bring transparency and accuracy to the market, has taken several initiatives and has been steadily increasing its market share in both cash and derivatives segment. It has also achieved market leadership in many otherproducts like the BSE SME platform, BSE Star MF (the Mutual Fund distribution through stock exchange mechanism), Offer for Sale, etc.
Earlier this year in April 2014, BSE launched its equity trading platform on the new software ‘BOLT Plus’. The BSE trading system (Bolt Plus) is based on T7, the global trading architecture of Deutsche Bourse AG. One of the key features of the system is its mean response time of under 200 micro seconds, making it the fastest trading platform in the country. BSE's new technology, which is open source and low cost can handle 5 lakh orders per second.
ABOUT BSE Ltd:
BSE (formerly Bombay Stock Exchange Ltd.) – Established in 1875, BSE Ltd. (formerly known as Bombay Stock Exchange Ltd.), is Asia’s first Stock Exchange and one of India’s leading exchange groups and has played a prominent role in developing the Indian capital market. BSE is a corporatized and demutualised entity, with a broad shareholder-base which includes two leading global exchanges, Deutsche Bourse and Singapore Exchange as strategic partners. BSE provides an efficient and transparent market for trading in equity, debt instruments, equity derivatives, currency derivatives, interest rate derivatives, mutual funds and stock lending and borrowing. BSE also has a dedicated platform for trading in equities of small-and-medium enterprises (SME). BSE Group provides a host of other services to capital market participants including risk management, clearing, settlement, market data services and education. It has a global reach with customers around the world and a nation-wide presence. BSE systems and processes are designed to safeguard market integrity, drive the growth of the Indian capital market and stimulate innovation and competition across all market segments. Indian Clearing Corporation Limited, the wholly owned subsidiary of BSE, acts as the central counterparty to all trades executed on BSE platform and provides full innovation guaranteeing the settlement of all bonafide trades executed on the BSE Platform.Central Depository Services Ltd. (CDSL), a BSE subsidiary of is one of the two central depository services in India. BSE Institute Ltd, a fully owned subsidiary of BSE, runs one of the most respected capital market educational institutes in the country.
About BNY Mellon
BNY Mellon Investment Management is one of the world's leading investment management organizations and one of the top U.S. wealth managers, with $1.6 trillion in assets under management. It encompasses BNY Mellon's affiliated investment management firms, wealth management services and global distribution companies. More information can be found at www.bnymellon.com.
BNY Mellon is a global investments company dedicated to helping its clients manage and service their financial assets throughout the investment lifecycle. Whether providing financial services for institutions, corporations or individual investors, BNY Mellon delivers informed investment management and investment services in 35 countries and more than 100 markets. As of June 30, 2014, BNY Mellon had $28.5 trillion in assets under custody and/or administration, and $1.6 trillion in assets under management. BNY Mellon can act as a single point of contact for clients looking to create, trade, hold, manage, service, distribute or restructure investments. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Learn more at www.bnymellon.com, or follow us on Twitter @BNYMellon.
For More Information
Contact Yatin Padia
BSE Corporate Communication
+91 022 22728516