The flagship index of the MCX Stock exchange (MCX-SX) will be known as “SX-40”. The new index, is poisoned between the two existing benchmarks Sensex and Nifty , will have shares of the top companies that currently made up for about 90% of market capitalization and represents sectors that offers higher growth potential. The SX-40 will be a free float based index of large market cap and liquid stocks representing most importing sectors.
The exchange is likely to begin trading around Diwali. The exchange would collaborate in its indices initiatives with the Indian Statistical Institute, FTSE as well as Financial Technologies Knowledge Management Company. The equity exchange would provide opportunities for small and medium sized companies to list at MCX-SX. MCX-SX had offered a competitive transaction fee and membership fee structure of Rs 30 lakh.
MCX Stock Exchange (MCX-SX has signed up 700 members for its new equity exchange. MCX-SX, India’s new stock exchange had launched its membership drive on September 5, following an approval from SEBI to deal in equity, futures and options on equity, interest rate derivatives and wholesale debt Market. NSE, India’s biggest exchange by volume, launched its operations with nearly 200 members in 1994. BSE started operations in 1875 with 318 members. BSE has listed out a total of 1,083 members on its website, while NSE has more than 1,400 members.