NSE Group, comprising the National Stock Exchange of India and NSE International Exchange, has retained its position as the world’s largest derivatives exchange group for the calendar year 2023, based on the number of contracts traded, as reported by the Futures Industry Association (FIA), a derivatives trade body.
For the fifth consecutive year in 2023, the National Stock Exchange of India (NSE) stands as the world’s largest derivatives exchange. According to the World Federation of Exchanges (WFE), NSE secured the 3rd position globally in the equity segment based on the number of trades conducted through the electronic order book.
The year 2023 marked several significant milestones, including the market capitalization of listed companies exceeding USD 4 trillion. Additionally, SME-listed companies surpassed the Rs 1,00,000 crore mark, and the Nifty 50 index crossed the 20,000 index level for the first time. The exchange concluded the calendar year with over 8.5 crores of unique registered investors.
NSE Maintains its Position as the World’s Largest Derivatives Exchange for the Fifth Consecutive Year, Securing the 3rd Largest Global Rank in the Equity Segment in Calendar Year 2023 (Credits: Bizz Buzz)
NSE experienced consistent year-on-year growth in the number of clients traded in its equity segment for the 10th consecutive year, from 2014 to 2023. Notable achievements include record-high turnover in the equity segment, with Rs 167,942.47 crores on November 30, 2023, and Rs 381,623.12 crores on December 2, 2023, in the equity derivatives segment. The equity derivatives to cash market turnover ratio saw a slight decline from 2.86 in 2022 to 2.64 in 2023.
In the equity segment, the transition for settlement of all securities on a T+1 basis was successfully completed, and the timeline for listing securities in the primary market was shortened to T+3 days.
The introduction of the Social Stock Exchange as a new segment allowed non-profit organizations (NPOs) and for-profit enterprises (FPEs) to showcase their work to a broader audience and mobilize funds through instruments like Zero Coupon Zero Principal Bonds. This initiative aims to promote participation in philanthropic causes, enhance efficiency, and bring transparency to the overall ecosystem. The segment witnessed registrations by 42 NPOs and fundraising by one NPO.
Within the commodity derivatives segment, the exchange launched 21 new commodity derivatives contracts, including commodity options on futures contracts for underlying assets such as WTI Crude Oil, Natural Gas, Gold, Silver, and Base metals.
NSE International Exchange (NSE IX) commenced full-scale operations of the NSE IX-SGX GIFT Connect on July 3, 2023, contributing to the creation of a deeper liquidity pool for Nifty products at GIFT IFSC. GIFT NIFTY contracts are available for trading for almost 21 hours, overlapping Asia, Europe, and US trading hours.
NSE (The Economic Times)
Sriram Krishnan, Chief Business Development Officer at NSE, commented, “Ranking 3rd in the equity segment and being the largest derivatives exchange demonstrates the strong capabilities of the Indian capital market ecosystem on the global map.
This will help attract new investors as well as fund flows to Indian markets, thereby aiding capital formation. I take this opportunity to thank the Government of India, Securities and Exchange Board of India, Reserve Bank of India, trading members, investors, and all other stakeholders for their continued support.”
About the National Stock Exchange of India Limited (NSE):
The National Stock Exchange of India (NSE) holds the distinction of being the world’s largest derivatives exchange by trading volume (contracts) for the calendar year 2023, according to statistics maintained by the Futures Industry Association (FIA). Additionally, NSE secured the 3rd position globally in the equity segment by the number of trades conducted through the electronic order book in 2023, as per the statistics maintained by the World Federation of Exchanges (WFE).
Commencing operations in 1994, NSE was the first exchange in India to implement electronic or screen-based trading. It has consistently been ranked as the largest stock exchange in India in terms of total and average daily turnover for equity shares since 1995, based on SEBI data.
NSE operates with a fully integrated business model encompassing exchange listings, trading services, clearing and settlement services, indices, market data feeds, technology solutions, and financial education offerings. Additionally, NSE oversees compliance by trading, clearing members, and listed companies with the rules and regulations of SEBI and the exchange. Renowned for its commitment to technology, NSE ensures the reliability and performance of its systems through a culture of innovation and ongoing investment in technology.
