Beginning July 3, 2023, SGX Nifty will be known as GIFT Nifty. All SGX orders will be completely transferred to Gift City, NSE IFSC Exchange for matching as of July 3. For those reasons, all approvals have been obtained.
The NSE IFSC-SGX Connect at GIFT City, Gandhinagar, would be the sole trading location for SGX Nifty derivatives as of July 3, according to a circular sent out by the Singapore Exchange to its trading members in April.
“Full-scale operation of the NSE IFSC-SGX Connect with the transition of SGX Nifty derivatives to NSE IFSC will take place on 3 July 2023. Following the transition, all US dollar-denominated Nifty derivatives contracts will be exclusively traded on NSE IFSC,” said a circular from the Singapore Exchange.
On June 30, 2023, all open positions in SGX Nifty will automatically shift to NSE IFSC Nifty as part of the liquidity switch, according to the SGX.
The stock market in India starts at 9:15 am every day, while SGX Nifty, which opens at 6:30 am IST, is used as an early sign of how it might perform.
In Gujarat International Finance Tec-City, also known as GIFT City, the development would allow investors to trade in dollar-denominated Nifty futures contracts that are available on the SGX.
Market participants would also have immediate access to NSE IFSC market data in addition to this. NSE IFSC is an exchange located at IFSC in GIFT City, Gujarat, and is a fully owned subsidiary of NSE.
Foreign investors that do not want to trade in India frequently use the SGX Nifty contracts. The Singapore Stock Exchange’s revenue at its height came from trading in the Nifty by as much as 10%. Amid worries about a shift in foreign traders’ trading activity to Singapore, India’s stock exchanges decided in early 2018 to suspend licencing its indexes to foreign bourses as of August 2019.
SGX Nifty to get delisted, NSE IFSC-SGX Connect to become operational. Read here
Get the best recommendations on Stocks, Mutual Funds and more based on your Risk profile!
Download the Mint app and read premium stories
Log in to our website to save your bookmarks. It’ll just take a moment.
You are just one step away from creating your watchlist!
Oops! Looks like you have exceeded the limit to bookmark the image. Remove some to bookmark this image.
Your session has expired, please login again.
You are now subscribed to our newsletters. In case you can’t find any email from our side, please check the spam folder.
This is a subscriber only feature Subscribe Now to get daily updates on WhatsApp