NSE-Singapore Exchange trading link will go live early next year

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The trade link of the National Stock Exchange of India Ltd. in Singapore via the Gujarat International Financial Services Center will begin early next year.

NSE IFSC-SGX has opened its office at GIFT City in Ahmedabad with the launch of the market data connection between the two financial centers, NSE IFSC said in a statement.

It will start streaming NSE IFSC data from November 1, Singapore Exchange Ltd. said. in a press release.

All SGX members will get real-time price data for Nifty derivatives at the NSE IFSC. The connection is expected to go live in early January around Vibrant Gujarat, according to the statements.

The trading link will provide first month data including open, high, low, last close and net change for three key commodities:

  • NSE IFSC Nifty 50 Index Futures

  • Futures contracts on the NSE IFSC Nifty Bank index

  • Futures contracts on the NSE IFSC Nifty IT index

SGX has their special purpose vehicles set up at GIFT City and exchanges are working to get the connection live ahead of schedule. Previously, the software and hardware had to be in place by the end of the year, and testing was to start in the January-March quarter.

Once the link is live, contracts reflecting Nifty products traded in Singapore will be transferred to the NSE IFSC platform on a phased basis. Investors registered with the NSE IFSC will be authorized to trade SGX products. The Indian Stock Exchange is already offering a Nifty dollar contract to GIFT City. The business link includes two clearing companies, one in GIFT City and one in Singapore.

The contracts will be settled in India and transferred to SGX, allowing foreign investors to cross or transfer margins between accounts on SGX platforms after settling their positions. India will grandfather or exempt customers registered in Singapore from the KYC requirement and the two regulators have agreed to share information.

The agreement between NSE and SGX paved the way for withdrawal from arbitration proceedings initiated after India’s largest stock exchange, along with its domestic peers, in 2018 stopped sharing price data to protect prices. Index futures against moving abroad.


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