With effect from October 1, the BSE and NSE have announced changes to their transaction fees. The adjustments, which were made public on Friday, will result in higher prices for some sectors. Transaction fees for Bankex and Sensex options contracts on the BSE would increase to ₹3,250 for each crore of premium turnover. Among other equity derivatives, charges for stock options and the Sensex Fifty are still ₹500 per crore of premium turnover.
Additionally, NSE has modified its charge schedule for different parts. A fee of ₹2.97 per lakh of transaction value will be imposed on both parties in the cash segment as of October 1. Equity options will have a cost of ₹35.03 per lakh of premium value, payable on both sides, whilst equity futures would have a rate of ₹1.73 per lakh. There will be a fee of ₹0.35 per lakh of trading value for currency futures and ₹31.10 per lakh of premium value for currency and interest rate options.
These fee adjustments are in accordance with SEBI’s July directive, which mandates that stock exchanges establish a standard charge structure for all market infrastructure organisations. In the past, fees were assessed based on trade volume or activity on a slab-by-slab basis, which benefited certain members according to their size or degree of engagement. The goal of the new flat structure is to do away with this discrepancy and make the end client cost structure more transparent.
The Multi Commodity Exchange of India Ltd. (MCX) also announced earlier this week a reduction in transaction costs for futures and options contracts, beginning from October 1. This move was made in accordance with these revisions. The MCX has established a fee of ₹2.1 per lakh of turnover value for futures contracts and ₹41.8 per lakh of premium turnover for options contracts.
In order to improve transparency and equity for all parties involved in the system, SEBI’s regulation also incorporates a “true to label” policy, which mandates that fees charged to end clients accurately represent the prices that trading members really pay to the market infrastructure institutions.
