India International Exchange Overview

The India International Exchange, or INX, is a subsidiary of the Bombay Stock Exchange (BSE).

INX was established in 2017 to provide a platform for trading in securities listed on the BSE.

It's located in the International Financial Services Centre (IFSC) at GIFT City, Gujarat.

The IFSC is a special economic zone designed to promote financial services and trading.

India International Exchange, or India INX, has made significant strides in its operations. In early 2020, the Asian Development Bank successfully raised $118 million from offshore rupee-linked 10-year bonds, which were listed on India INX.

The exchange offers access to the full range of stocks and exchange-traded funds available in US markets. This is a major advantage for investors looking to diversify their portfolios.

India INX has seen a significant increase in trading volume, particularly in foreign stocks. The daily average volume in foreign stocks in India INX during January 2022 was $5,242.

By May 2022, this number had risen to $42,954, and by June, it had skyrocketed to $195,139. The exchange's trading volume continued to surge, reaching a daily average of $462,036 in the last week of June.

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The India International Exchange (India INX) has specific listing requirements that issuers must meet before listing their shares. These requirements are set by the Securities and Exchange Board of India (SEBI).

To be eligible for listing, an issuer company must have a minimum net worth of ₹100 crores (approximately USD 13 million). This is a crucial requirement that ensures the company has a solid financial foundation.

The issuer company must also have a profit track record of at least three years preceding the date of application. This demonstrates the company's ability to generate profits and manage its finances effectively.

The minimum issue size is ₹100 crores (approximately USD 13 million), which is a significant amount that ensures the company has a substantial market capitalization.

The shareholding pattern must comply with SEBI regulations, and the promoter's minimum contribution should be 20% of the post-issue paid-up capital. This ensures that the promoter has a significant stake in the company and is committed to its long-term success.

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The issuer company must also have a sound corporate governance structure and comply with SEBI regulations in this regard. This includes disclosing all relevant financial information, including audited financial statements and other relevant documents.

Here's a summary of the listing requirements:

Recently, the Securities and Exchange Board of India (Sebi) made a notable move regarding the India International Exchange (INX) at GIFT City.

Sebi has allowed BSE's INX to launch 4-5 financial products in the coming fortnight.

Trading on the India International Exchange (India INX) will soon expand to include foreign stocks, making it easier for investors to access global markets. This is a significant development for investors seeking liquidity and investability.

India INX has proposed to offer stocks from the US, Canada, the UK, Europe, Australia, and Japan, covering about 80% of the investing universe. This will provide investors with a wide range of options to choose from.

The exchange will roll out the functional details of the international stocks trading platform, including specifications about the products. This will enable investors to make informed decisions about their investments.

India INX will add international stocks to trading via its wholly-owned subsidiary India INX Global Access IFSC Ltd. This will provide a convenient and easy way for investors to access global stocks.

Members of India INX can access this facility at no additional membership costs. This is a great opportunity for existing members to expand their investment options.

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V. Balasubramanian has been appointed as the head of India International Exchange, taking on the roles of MD and COO.

He will be joined by a team of 70-80 officials from the Mumbai office of BSE, bringing a wealth of experience and expertise to the new exchange.

Balasubramanian's leadership will be crucial in shaping the direction of India International Exchange and driving its growth.

The influx of new officials from BSE is expected to bring a fresh perspective and a significant boost to the exchange's operations.

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India INX is a game-changer for international trading in India, with a wide range of securities and products available for trading, including equity shares, depository receipts, and currency derivatives. The exchange is located in GIFT City, Gujarat, and is wholly owned by BSE Ltd.

The India INX offers a unique trading schedule, with 22 hours of trading every day, starting at 4 am when exchanges in Japan open and closing at 2 am when exchanges in the US close.

You can trade international stocks like Apple, Alphabet (Google), JPMorgan, Facebook, and Microsoft on the India INX, with all contracts being dollar-denominated. The exchange also plans to add commodities contracts like gold, silver, copper, oil, and the rupee soon.

Here are some key features of the India INX:

India INX offers a no-extra-cost facility for its members to access international stocks. This means you can trade in international markets without paying any additional membership costs.

Members can access this facility at no extra cost, which is a great perk for those looking to expand their investment options.

India INX Global Access provides cost-efficient trading, a leading technological platform, and an expansive product scope including stocks, indices, bonds, derivatives, and hybrids.

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The facility will roll out with product specifications soon, and members can look forward to trading in international markets with ease.

Here are some benefits of India INX Global Access:

India INX is a game-changer in the trading world, offering a wide range of securities and products.

The exchange allows trading of equity shares of companies incorporated outside India, depository receipts, debt securities, currency and interest rate derivatives, index based derivatives, and commodity derivatives.

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International Equity Futures, such as Apple, Alphabet, JPMorgan, Facebook, and Microsoft, are already being traded in the mock trading session.

All contracts on India INX are dollar-denominated, making it an attractive option for international traders.

India INX will operate for 22 hours every day, opening at 4 am when exchanges in Japan open and closing at 2 am when exchanges in the US close.

The exchange will start trading stock futures and index futures from January 16, 2017, and later add commodities contracts like gold, silver, copper, oil, and the rupee.

During its initial phase, India INX will only offer derivative products in equity, currency, and commodities.

India INX will facilitate co-location of members in its own Data Centre at GIFT IFSC, offering the same state-of-the-art T7 trading platform used by BSE with a speed of 6 microseconds.

The exchange aims to invest ₹500 crore over the next 3-4 years for clearing and trading.