Did you know India's National Stock Exchange is World's Largest Derivative Market - 4 years running?

The National Stock Exchange of India (NSE) retains its spot as the world’s largest derivatives exchange in 2022. NSE is holding the largest derivatives market position since 2019.

NSE recorded the most number of contracts traded based on stats maintained by the Futures Industry Association (FIA). 

NSE stands at the 3rd spot in the number of trades recorded in the equity segment based on the World Federation of Exchanges (WFE) report.

NSE Building

(Image - Glassdoor)

2022 also marked the Nifty 50 touching a new all-time high of 18,887.60. The exchange has recorded strong liquidity in equity, equity derivatives, and currency derivatives.

Exchange Traded funds (ETFs)  in the equity segment had a daily average turnover of RS 470 crore in 2022, a 51% increase YoY.

NSE has announced that it is working on new products in the currency and exchange segment which will be launched shortly.

The NSE also announced introducing a Social Stock Exchange segment based on approvals from regulatory bodies. ‘Social Enterprises’ and ‘Non-Profits’ would be able to raise funds through instruments such as Zero Coupon Zero Principal Bonds, allowing for transparency and efficiency for philanthropic causes.

Sriram Krishnan, Head of Business Development, NSE said “The achievement of being ranked 3rd in the equity segment and largest exchange in derivatives is a culmination of the collaborative effort of all the stakeholders”.

Liquidity is a beneficial factor in gauging the strength of a market. The high volume of contracts is an insight into the depth of the Indian stock market. Robust volumes in the derivative and equity segments can attract foreign investors while retaining the attention of domestic investors.

 

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