List Of Stock Exchanges In India (2021).

List Of Stock Exchanges In India (2021)

It is imperative to know in detail about these stock exchanges so that you get a fair idea about which suits your needs and is best for you. Here is the list-

1. Bombay Stock Exchange Limited (BSE)

It is the first stock exchange in India, which is located at Dalal Street, Mumbai. It was established in 1875 and is said to be the world’s 10th largest Stock Exchange with a market capitalization of $2.2 trillion and has more than 5500 companies listed in it.

The history of this stock exchange is worth knowing as it is very interesting. In the 1850s which is more than 160 years ago, there were an informal group of 22 stockbrokers who met under a Banyan tree in front of Mumbai Town Hall. Now, the Horniman circle is situated there.They began trading there with just an investment of Rs.1 per broker, and it started flourishing as more and more people joined them. It was in 1861 when the American Civil War broke when it succeeded immensely and had around 250 brokers. Then these brokers created a group named The Native Share and Stockbrokers Association.

Later, this group was organized formally in 1875 and was named the Bombay Stock Exchange (BSE). They worked there for a lot of years; it was in 1930 that they shifted to the now BSE building on Dalal Street. Their main leader was Premchand Roychand, and it was under his supervision that the codes and rules were framed.

The government of India acknowledged BSE as the first National Stock Exchange under the Securities Contracts Act in 1956. Since then, it has promoted the growth of the Indian Corporate Sector by giving it a capital-raising platform.

2. National Stock Exchange of India (NSE)

This is also established in Mumbai and is the leading stock exchange of India. It was established in 1992, but the trading started in 1994. It desisted the monopoly of BSE and became the first demutualized electronic exchange in the country and had a fully-automated screen-based electronic trading system.

The purpose it was established was because there was a member of BSE who was exposed illegally manipulating the market. Plus, BSE was very slow in responding to the calls, and; there were a few fraudulent activities were happening the government of India planned to open rival stock exchange.

It totally modified the way the country bought and sold shares. The significant impact that it brought was that people from every part of the world could trade from anywhere. Stock price information was available for everyone and was not just confined to a few people.

There are fast executing systems installed in this Exchange which makes the process transparent, easy, and approachable. NSE has been ranked 4th in aspects of trade volume in equity. It has a total market capitalization value of $2.41 trillion and is far ahead of BSE in terms of volume and turnover.

Initially, NSE could handle two orders in one second, but it enhanced its technology, and by 2011 it could handle 60 orders per second. You would be surprised to know that it can take 1, 60, 000 orders every second. NSE has been stable in maintaining its reputation in terms of reliability, innovation, trust, and expertise.

3. Calcutta Stock Exchange Limited (CSE)

This stock exchange also has a great story which is very interesting. It was back in 1830 under a neem tree where a group of brokers gathered and commenced their dealings. Later in 1908 CSE was made and at that time it was name Calcutta Stock Exchange Association, and its location was China Bazar Street, Kolkata.

In the year 1928, the building was changed, and it was shifted to the Lyons Range in Kolkata. It is the second oldest Stock Exchange in South Asia. CSE started using an electronic trading system in 1997. You would be amazed to know that BSE also has its 5% stake in CSE.

It also has an index called CSE-40 just like Sensex and Nifty 50. But, now no trading happens in CSE, and it has also stopped updating its index since April 2013. Just like other small stock exchanges, SEBI has asked to close CSE, but the matter is still in court. Although it’s an inactive stock exchange, yet it is deemed to be an active stock exchange.

4. India International Exchange (INDIA INX)

This is the leading international Exchange of India, and it is located at the International Financial Services Centre (IFSC), GIFT city in Gujarat. Prime Minister Narendra Modi inaugurated it on January 9, 2017, and the trading started on January 16.

It is not like the other regular stock exchange where individual stocks are traded instead here they function in derivates and debt. It is the world’s speediest Exchange and is also one of the most advanced technology platforms as it runs on the Eurex T7 platform.

Its recognition is valid till December 28, 2020. INDIA INX operated 22 hours a day and opens six days a week so that it is convenient for NRI’s and global investors who work under distinct time zones. It was open as a substitute for the offshore banking activities done by Indian companies. The offshore transactions take place in Dubai, Singapore, and Hong Kong.

Before the advent of INDIA INX, people who wanted to invest in foreign currency had to reach out to exchanges abroad which caused a loss of investment domestically. But now, the process has become cheap, easy, and fast.

5. Multi Commodity Exchange of India (MCX)

It is the first listed commodity exchange which was made under the regulatory body FMC, but later it was merged with SEBI. It was instituted in 2003, and its operation started on November 10, 2003, and is located in Mumbai. It is the most comprehensive commodity derivates exchange in India.

In 2018, it completed 15 years, and it touched the height of trading by generating a turnover of $50 trillion. Recently, they have also launched a web-based app called “ComRIS” for keeping a record of transactions. Because of these achievements, MCX was ranked 7th among the global commodity exchanges.

One important thing to know is that companies are not traded here. They just trade in gold, silver, rubber, cotton, crude oil, etc. The stock of MCX is also listed on NSE and BSE.

6. National Commodity and Derivates Exchange (NCDEX)

It is an online commodity trading exchange that is managed by professionals. It was founded on April 23, 2003, and its headquarter is in Mumbai, but it provides facilities to its members from multiple centers located across the country. Most of the shares of NCDEX are owned by companies, national-level institutions, and large public sector banks.

Here you only find commodity derivates; therefore, here you can trade on different kinds of seeds, turmeric, wheat, chickpeas, grains, barley, refined oils, etc. NCDEX has also helped in improving agricultural practices because it has made trading easy and also promotes growth for people who are linked with agriculture.

It is a permanently recognized stock exchange that has more than 30 lakh clients who trade on over 50, 000 terminals across 1000 centers in India. Their trading time is from 10 a.m.-11:30 p.m. and is open five days a week.

7. Indian Commodity Exchange Limited (ICEX)

It is not a stock exchange, but a SEBI regulated commodity derivate exchange. Its headquarter are based in Mumbai, and it has been registered at SEBI since August 2017. It permits the registered brokers to deal in particular financial instruments across the country.

It is recognized as a permanent exchange and is the only Exchange worldwide to launch a diamond derivative contract in 2017. In ICEX, you also have the opportunity to trade in mutual funds and commodity derivates as well.

8. Metropolitan Stock Exchange of India Limited (MSE)

It was established in November 2008 and started trading in 2009. It is one of three stock exchanges in India (the other two are NSE and BSE) where you can trade individual stocks. Here you can trade in financial segments such as equity, debt, SME platform, currency & equity derivates.

Its electronic system is very transparent and high tech. Here you can trade in more than 1500 companies; it also has various big financial institutions as shareholders.

9. National Stock Exchange IFSC Limited

It is similar to India INX and is located in the International Financial Service Centre, at GIFT city, Gujarat. It is the subsidiary of NSE, and the purpose of launching NSE IFSC was to expand India’s financial market and improve the capital brought to the Indian markets.

It was established in November 2016, and its SEBI recognition is till May 2021. They do not trade in individual stocks; they just trade in derivate segments such as equity, currency, and commodity.

They work in two sessions, and each session is of 8 hours. The first sessions begin from 8 a.m. to 5 p.m., and the second session is from 5:30 p.m. to 11:30 p.m.

This was the list of stock exchanges in India that are active. Also, there were 20 stock exchanges in India that got closed. Let us discuss some of them and know the reasons why they got closed.