SEBI on Friday allowed domestic and foreign stock exchanges and clearing corporations to form a subsidiary to provide their services by having an initial minimum networth of Rs 25 crore and Rs 50 crore, respectively, which could be enhanced to Rs 100 crore and Rs 300 crore over the period of three years from the date of approval.
These guidelines may be called the Securities and Exchange Board of India (International Financial Services Centres) Guidelines, 2015. They shall come into force on April 01, 2015.
India's first IFSC is being set up at Gujarat International Finance Tec-City (GIFT City) near Ahmedabad in Gujarat.
SEBI said any Indian or foreign stock exchange can form a subsidiary in IFSC where at least 51 per cent of equity capital is held by such exchange and remaining shares should be offered to any other recognised stock exchange, whether Indian or of foreign jurisdiction.
Besides, the stock exchange or clearing corporation could hold at least 51% of the paidup share capital and the remaining stake could be offered to any other Indian or foreign stock exchange or clearing corporation.
The regulator has also exempted these intermediaries from certain provisions such as the stock exchange not needing to credit 25% of its profits every year to the fund of the clearing corporation which clears and settles trades executed on that stock exchange.
via Business - Google News http://ift.tt/1FbKBR1
Put the internet to work for you.
No comments:
Post a Comment