Regulatory fee setback likely for BSE

livemint.com:

₹169.77 crore—including ₹44.3 crore for the April-December 2023 period and ₹73.47 crore for Q4—for the differential regulatory fee, pending Sebi’s final decision on its request. While BSE declined to comment on the matter, a query to Sebi went unanswered. Notional turnover refers to the total value of an options contract while premium turnover refers to the actual traded value.

For instance, the 78,100 strike Sensex call options contract expiring on 28 June is available at a premium of ₹340 a share (10 shares make one contract). The notional turnover for this contract will be ₹7.84 lakh (10 * (78,100 +340)), while premium turnover will be ₹3,400 (premium of 340 * 10 shares). BSE shares ended up 0.9% at ₹2,520.55 apiece on NSE on Tuesday.

The share has lost 21.47% in value since Sebi’s circular on 26 April. Against this, the Sensex is up 6% at 78,053.52 over the same period, and the Nifty is also up 6% at 23,721.3. The regulatory advisory comes in the wake of BSE ramping up its derivative segment volumes since last May after decades of being unable to get traction on this front.

This was made possible by Sebi allowing it to launch weekly Sensex options expiring on Friday instead of on Thursday, coinciding with the weekly Nifty option contracts expiry. In FY24, BSE reported total derivatives turnover of ₹8,028.93 trillion, up a staggering 2,241%from ₹343.15 trillion in FY23. The corresponding NSE figures were ₹79,928 trillion and ₹38,223 trillion.