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April 14 - April 19, 2023
NSE Milestones 1992: Incorporated in November. 1993: Recognised as a stock exchange in April. 1994: Wholesale debt market segment goes live in June; equities segment goes live in November. 1995: NSE Clearing Ltd (earlier known as National Securities Clearing Corporation Ltd), India’s first clearing corporation launched in August; NSE becomes the largest stock exchange in the country. 1996: Settlement guarantee fund of NCL set up in June; NSDL set up in November as India’s first depository. 1999: Automated lending and borrowing mechanism (ALBM) started in February. 2000: Internet trading starts
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2001: Index options launched in June; individual stock options launched in July; futures trading on individual securities started. 2002: Exchange traded funds (ETFs) launched in January. 2003: Interest rate futures launched in June. 2005: Nifty Bank Index derivatives launched. 2008: Currency futures launched; securities lending and borrowing scheme (SLBS) started; NOW platform for web-based trading launched. 2010: NSE starts tick-by-tick (TBT) high-frequency trading (HFT) or algo trading and Colo services in January; currency options launched. 2011: BSE complains about NSE’s anti-competitive
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2012: Emkay fat-finger crash halts trading in October. 2013: Chitra Ramkrishna becomes MD & CEO; Ravi Narain becomes non-executive vice-chairman. 2015: Moneylife publishes whistle-blower’s letter in June, NSE files defamation against Moneylife in July; SEBI refers whistle-blower’s letter to Technical Advisory Committee in November. 2016: In April, SEBI-TAC submits report confirming whistle-blower’s allegations. SEBI revamps NSE board of directors; Subramanian Anand, group operating officer, leaves abruptly in October; Deloitte Touche Tohmatsu India LLP submits its forensic report; Chitra
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in the early 1990s, Hemendra Kothari, the then BSE president, began his speech by saying that the only kind of trading that happens on Indian bourses is insider trading.
“It would have been impossible for NSE’s trading network to connect far off places like Srinagar, Johrat (Assam), Nagercoil (Tamil Nadu), Nainital (Uttaranchal), and Salasar (Rajasthan),” said Patil.
“This convinces me that if you are well-intentioned, there is a higher force up there that helps you. This is because you are not doing it selfishly for yourself,” said Patil.
Flash Crash but No Scratch
Kalpesh Parekh, head of the cash market dealing section of Emkay, got an order to sell Rs35 lakh (Rs3.5 million) value of Nifty Basket and Rs7 lakh (Rs700,000) value of Sensex Basket[71] from Franklin Templeton Mutual Fund. He decided to execute it in two tranches, i.e., one of Rs17 lakh (Rs1.7 million) and another of Rs18 lakh (Rs1.8 million) and assigned it to Sagar. But, while placing the first order, Sagar chose ‘quantity’ instead of Rs17 lakh in ‘value’. This converted an order of Rs17 lakh (Rs1.7 million) into a single sell order worth Rs980 crore (Rs9.8 billion) at 09:50:54. It turned
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Who says violations, gaming the system, or hounding the competition doesn’t pay?
The rule of law often does not apply to the powerful in India.
As the legendary investor Charlie Munger has said: “Show me the incentive and I will show you the outcome.”
