BSE to launch options on WTI crude oil, Brent crude oil futures contracts from THIS date, know details

Bombay Stock Exchange will launch options contracts on underlying WTI crude oil and brent crude oil futures from October 9, announced the stock exchange on Friday.

In addition to this, the stock exchange will also introduce Futures contracts on BSE metals such as copper, zinc, aluminium. New options for commodity contracts will help market participants (including corporates, value chain participants and foreign portfolio investors) to efficiently manage their commodity price risk against volatility, BSE said in a statement.

Earlier, the stock exchange introduced Brent crude oil futures contracts in the commodity derivatives segment.

On the same day, the National Stock Exchange (NSE) announced that it will launch options contracts on underlying WTI crude oil and natural gas futures in the commodity derivatives segment from October 9.

Separately, BSE made Investor Risk Reduction Access (IRRA) accessible to trading members across exchanges from October 3. thee platform will help investors in case of disruption of services caused by systems belonging to trading members.

"IRRA platform will be available to the trading members supporting Internet Based Trading (IBT) and Security Trading through Wireless Technology for their investors. IRRA will not be available for Algo trading and Institutional clients," BSE said.

Under the guidelines, trading members, upon facing technical glitches, which lead to disruption of trading services, can request for enablement of the IRRA service.

After the authorisation of IRRA service, the investors concerned can square off/cose the open positions across segments and exchange/s or cancel the orders across segments.

Know about BSE

It was formerly known as Bombay Stock Exchange. It is known to be Asia's oldest and the world's fastest stock exchange with a speed of 6 microseconds. It is a corporatized and demutualised entity, with a broad shareholder base. BSE provides an efficient and transparent market for trading in equity, debt instruments, equity derivatives, currency derivatives, interest rate derivatives, mutual funds and stock lending and borrowing. Till October 6, around 5333 companies were listed in BSE. Their combined market capitalisation stood at ₹32,498,642.09 crore. Market capitalisation of top ten firms stood at ₹8,025,496.08 crore.