Stock Exchanges in India part I

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• Ahmedabad Stock Exchange or ASE is the second oldest
exchange of India located in the city of Ahmedabad in the
western part of the country. It is recognized by Securities
Contract (Regulations) Act, 1956 as permanent stock exchange.
It has adopted a Swastika in its logo which is one of the most
auspicious symbols of Hinduism depicting wealth and
prosperity.
• The stock exchange was established as a Public Charitable
Trust in 1894 following the establishment of the Bombay Stock
Exchange in 1875. Earlier the stock exchange functioned under
the framework of the Bombay Securities Contracts Act, 1925.

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• The stock exchange went live on December 12, 1996.
Initially, ASE used a system provided by IBM. Since June
1999, ASE operates on Ahmedabad Stock Exchanges' Online
Trading System (ASETS). This system was provided to ASE
by Tata Consultancy Services Pvt. Ltd. Members of the ASE
can also trade on the Bombay Stock Exchange though a system
called IBOSS.
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• Bangalore Stock Exchange (BgSE) is a public stock exchange
based in Bangalore, India. It was founded in 1963 and currently
has 595 regional and non-regional companies listed. In
September 2005, the BgSE announced plans to go public by
divesting at least 51% of its ownership. The stock exchange is
managed by a Council of Management, consisting of members
appointed by the Securities and Exchange Board of India. First
stock exchange in South India to start electronic trading of
securities in 1996.
• Some of the companies that trade on the BgSE include
Infosys, Wipro, United Breweries and Bharat Electronics
Limited.
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• Bhubaneswar Stock Exchange (BhSE) was initially
incorporated on the 17th April,1989 as a Company limited by
guarantee without having share capital with an object to
facilitate, assist, regulate and control the business of dealing in
stocks, shares and like securities in the State of Orissa.
Ministry of Finance, Govt. of India, New Delhi granted
recognition to Company on 5th June,1989 under the provisions
of the Securities Contracts (Regulation) Act,1956 and the Rules
made there under for an initial period of five years to perform
the role of a Stock Exchange. At present, the said recognition
of BhSE is being renewed by Securities and Exchange Board
of India (SEBI) from time to time.
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• The Bombay Stock Exchange (BSE) (formerly, The Stock
Exchange, Bombay) is a stock exchange located on Dalal
Street, Mumbai and is the oldest stock exchange in Asia. The
equity market capitalization of the companies listed on the BSE
was US$1 trillion as of December 2011, making it the 6th
largest stock exchange in Asia and the 14th largest in the
world. The BSE has the largest number of listed companies in
the world.
• As of December 2011, there are over 5,112 listed Indian
companies and over 8,196 scrips on the stock exchange, the
Bombay Stock Exchange has a significant trading volume. The
BSE SENSEX, also called "BSE 30", is a widely used market
index in India and Asia.
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Session Timing
Beginning of the Day Session 8:30 - 9:00
Pre-open trading session 9:00 - 9:15
Trading Session 9:15 - 15:30
Position Transfer Session 15:30 - 15:50
Closing Session 15:50 - 16:05
Option Exercise Session 16:05 - 7

• Calcutta Stock Exchange (CSE) located at the Lyons
Range, Kolkata, India, was incorporated in 1908 and is the second
largest bourse in India
• In 1830, the bourse activities in Kolkata used to conducted under a
neem tree.The earliest record of dealings in securities in India is the
British East India Company’s loan securities. In 1908, the stock
exchange was incorporated and had consisted of 150 members. The
present building at the Lyons Range was constructed in 1928. The
Calcutta Stock Exchange has been granted permanent recognition by
the Central Government with effect from April 14, 1980 under the
relevant provisions of the Securities Contracts (Regulation)
Act, 1956. The Calcutta stock exchange followed the familiar outcry
system for stock trading up until 1997, when it was replaced by an
electronic (eTrading) system known as C-STAR (CSE Screen Based
Trading And Reporting)

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• The Cochin Stock Exchange Limited (CSE) is a capital stock
market in Kochi, Kerala in India. Incorporated in 1978, it has
now over 350 Indian companies listed. CSBL a wholly owned
subsidiary of CSE is a member of NSE and BSE.
• Computerized trading was introduced in 1997.The major back
office system software used are NESS and BOSS respectively
for NSE and BSE. The trading software used in CSBL is
Multex. Traders are provided Meta Stock and ERS
software, trading terminals and optical fiber connections. DP
holdings are maintained by demat services like CDSL.
• The new millennium saw the stock exchange building being
shifted from the old structure in downtown Cochin to a brand
new building in the Kaloor area in northern Kochi.
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• The Coimbatore Stock Exchange Limited, (CSX) is located
in Coimbatore, Tamilnadu, India. It is the youngest stock
exchange in India. It was founded by K.G. Balakrishnan (not
related to the current Chief Justice of the Supreme Court India
of the same name). It is now governed by the Governing Body
which consists of the member brokers. Currently the staff
strength is fifty.
• The exchange also has Screen Based Trading (SBT) system
which commenced operations on 9 October 1996. The system
is equipped to handle 25,000 traders per day and 400
members. Each member has been given a computer terminal
which is connected in a Local Area Network (LAN).

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• The Delhi Stock Exchange (DSE) is located in New Delhi,
India. It was incorporated on June 25, 1947. The exchange is
an amalgamation of Delhi Stock and Share Brokers'
Association Limited and the Delhi Stocks and Shares Exchange
Limited. It is India's fifth exchange. The exchange is one of the
premier Stock Exchange in India. The Delhi Stock Exchange is
well connected to 50 cities with terminals in North India.
• The exchange has over 3,000 listed companies. It has received
the market regulator's permission from BSE and has become a
member. Now it facilitates the DSE members to trade on the
BSE terminals. The exchange is also considered the same from
NSE.

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• Delhi Stock Exchange has paired up with the National Security
Depository Limited (NSDL), and commenced trading in
dematerialised shares. This started September, 1988.
However, the option for delivering shares either in physical or
demat form started in November 1998.

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• The Guwahati Stock Exchange (GSE) is locate in
Guwahati, Assam, India. It was incorporated on 29 November
1983 and it was recognised by the Government of India on 1
May 1984. The GSE is limited by guarantee by the member-
brokers.

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• The Hyderabad Stock Exchange (HSE) was a stock exchange
established in 1941 located in Hyderabad, India. The exchange
was disbanded in 2007.
• In November 1941, some leading bankers and brokers formed
the share and stock Brokers Association. In 1942, Mr. Gulab
Mohammed, the Finance Minister formed a committee for the
purpose of constituting rules and regulations of the Stock
Exchange. Sri Purushothamdas Thakurdas, president and
founding member of the Hyderabad Stock Exchange performed
the opening ceremony of the exchange on November 14, 1943
under Hyderabad Companies Act. Mr. Kamal Yar Jung
Bahadur was the first president of the exchange.

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• The HSE started functioning under Hyderabad Securities
Contract Act of No. 21 of 1352 under H.E.H. Nizam’s
government as a company limited by guarantee. It was the 6th
Stock Exchange recognized under Securities Contract Act, after
the Premier Stock Exchanges, Ahmedabad, Bombay, Calcutta,
Madras, and Bangalore Stock Exchange. All deliveries were
completed every Monday or the next working day.

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• SEBI had notified The Hyderabad Stock Exchange Ltd.
(Corporatisation and Demutualisation) Scheme, 2005 on August
29, 2005. The Hyderabad Stock Exchange Ltd. has failed to dilute
51% of its equity share capital to the public other than
shareholders having trading rights on or before August 28, 2007.
Consequently, in terms of section 5(2) of the Securities Contracts
Regulation Act, 1956 (SCRA), the recognition granted to HSE was
withdrawn with effect from August 29, 2007. After derecognization
by SEBI, the company name has been changed to "Hyderabad
Securities and Enterprises Ltd"
• The number of members of the Exchange was 55 in 1943, 117 in
1993 and increased to 300 with 869 listed companies having paid up
capital of Rs.19128.95 crores as of March 31, 2000. The business
turnover also substantially increased to Rs. 1236.51 crores in 1999-
2000. The Exchange had a very smooth settlement system.

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• Inter-connected Stock Exchange Ltd. (ISE) started its operation in
1998 in Vashi, Mumbai. It is a national-level stock
exchange, providing trading, clearing, settlement, risk management
and surveillance support to its trading members. It has 841 trading
members, who are located in 18 cities. These intermediaries are
administratively supported through the regional offices at
Delhi, Kolkata, Patna, Ahmedabad, Coimbatore and Nagpur, besides
Mumbai.
• The ISE is promoted by 12 regional stock exchanges namely at
Bangalore, Bhubaneshwar, Chennai, Cochin, Coimbatore, Guwahati,
Indore, Jaipur, Kanpur, Mangalore, Magadh and Vadodara. The
participating exchanges of ISE have 4,500 members and listed
securities. It is a stock exchange of stock exchanges, members of the
stock exchanges being traders on the ISE.

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• Abolition of Badla with effect from July 2, 2001, acted as the
backbone of trading at the Calcutta, Delhi, Ahmedabad and Ludhiana
Stock Exchange Association and also at a few other
exchanges, which conducted Badla trading but in a clandestine
manner, dealt a serious blow to trading at the RSEs. Introduction of
uniform trading cycles at all the stock exchange, also effective from
July 2, 2001, reduced further the volume of trading at the RSEs due
to diminished opportunities for arbitrage transactions. Introduction of
compulsory rolling settlements, initially in a few securities and
subsequently in all securities effective from December 31, 2001 on a
T+5 bases accelerated the reduction in turnover at the RSEs. The
switch over of the rolling settlement to T+3 effective from April
1, 2002 and to T+2 with effect from April 1, 2003 sealed the fate of
the RSEs.
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• Yet another major reason for the absence of trading at the RSEs is
that all the major operators are all these exchanges acquired
memberships of either NSE or BSE or of both, while most others
acquired the sub-brokerships of members of NSE/BSE and all of
them switched over their operations completely to NSE and BSE. In
spite of the fact that trading at the RSEs has ground to a halt, RSEs
have managed to survive so far because of the annual listing fees that
are being received from the listed companies. The circulars issued by
the Ministry of Finance on April 23, 2003 withdrawing its earlier
circulars which required all companies including existing listed
companies, to be listed on the stock exchanges located in the State
where the registered office or the main works/fixed assets of the
company are situated, has led to the conclusion of RSEs as
companies have started lining up one after the other to get
themselves delisted from the RSEs.

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Stock Exchanges in India part I

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