NSE, BSE Revise Transaction Fees Effective from October 1; Details Here
In a significant move to align with the directives of the Securities and Exchange Board of India (Sebi), the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) have revised their transaction fees for various market segments, effective from October 1, 2024.
New Fee Structure
Following Sebi's circular issued on July 1, 2024, which mandates a uniform flat fee structure for all members of market infrastructure institutions, both NSE and BSE have announced the new fee rates. According to the new structure, the transaction fee for the cash market on NSE will be Rs 2.97 per lakh of traded value on each side.
In the equity derivatives segment, NSE will charge Rs 1.73 per lakh of traded value for equity futures and Rs 35.03 per lakh of premium value for equity options. This uniform fee structure replaces the previous slab-wise system based on the volume of trading.
BSE Revisions
BSE has also made significant revisions, particularly in the equity derivatives segment. The transaction fees for Sensex and Bankex options contracts have been set at Rs 3,250 per crore of premium turnover. For Sensex 50 options and stock options, the fee will be Rs 500 per crore of premium turnover. Notably, there will be no transaction fees for index and stock futures on BSE.
Currency Derivatives
In the currency derivatives segment, NSE will charge Rs 0.35 per lakh of traded value for futures and Rs 31.10 per lakh of premium value for options, including interest rate options. These changes are part of the broader effort to standardize fees across all market segments.
Compliance with Sebi Directives
The revisions are in compliance with Sebi's directive to ensure a uniform charge structure for all members of market infrastructure institutions. This move aims to enhance transparency and fairness in the market. Sebi has also stipulated that any charges recovered by trading members from their clients must match the charges they pay to the exchanges, ensuring a 'true-to-label' system.
Impact on Market Participants
The new fee structure is expected to simplify the cost structure for traders and investors, as it eliminates the complexity of the previous slab-wise system. This change is seen as a positive step towards creating a more transparent and equitable trading environment.
In summary, the revised transaction fees by NSE and BSE, effective from October 1, 2024, mark a significant shift towards a uniform and transparent fee structure, aligning with Sebi's regulatory mandates.
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**Sources:** - [NSE, BSE revise transaction charges effective from October 1] - [NSE, BSE revise transaction fees: Here are new charges effective from October 1] - [NSE, BSE revise transaction fees; new charges effective from October 1] - [NSE Revises Cash, F&O Market Fees - NDTV Profit] - [NSE and BSE revise their transaction fees to comply with Sebi circular]