Metropolitan Stock Exchange of India Limited (MSEI)

Company Overview : Incorporated in 2008, Metropolitan Stock Exchange of India Limited is a national-level stock exchange recognized by the Securities Exchange Board of India with the license to operate in currency derivatives, debt securities, equity derivatives, SME platforms, and more. The shareholders of this exchange include the public, some of the top public sector banks, private sector banks, and domestic financial institutions of India.

Mission & Vision:

‘Information, Innovation, Education and Research’ are the four cornerstones of the unique market development philosophy adopted by MSE and supports its mission of Financial-literacy-for-Financial InclusionTM, as is envisaged by the Government of India. As part of this mission, MSE conducts large-scale investor education and awareness programmes.

Several services that are offered by MSEI:

1. The stock exchange offers an electronic, transparent, and hi-tech platform for trading in several segments like the capital market, futures & options, currency derivatives, and debt markets.

2. The exchange also provides an SME trading platform.

3. It commenced its Currency Derivatives (CD) segment operations on October 07, 2008, under the regulatory framework of the Reserve Bank of India (RBI) and SEBI.

4. The exchange also launched its capital market segment, futures, and options segment, and flagship index “SX40” on February 09, 2013, and started trading on February 11, 2013.

Subsidiaries of the Company:

The company has two subsidiaries:

1. (MCCIL) Metropolitan Clearing Corporation of India Limited:

This subsidiary was set up with the intention of clearing and settling all the trades on the exchange.

It has also set up an agreement with the Indian Commodity Exchange Limited (ICEX) to offer clearing and settlement services to MSEI for all the trades done on their existing commodities and derivative segments.

Metropolitan stock exchange holds an 86.94% stake in MCCIL.

2. MCX-SX KRA:

This is a wholly-owned subsidiary of the company to completely overtake the business of KYC Registration Agencies and allied activities, subject to registration with SEBI under the SEBI(KYC (Know Your Customer) Registration Agency) Regulations, 2011.

MSEI holds a 100% stake in MCX-SX KRA.

Key Strength of MSEIL:

1. Use of High End Technology:

The IT infrastructure at the Exchange has been designed with performance, reliability, redundancy and security as the key parameters. The Exchange has got a robust Trading System running on High Availability and Fault Tolerant Infrastructure which includes Fault Tolerant Servers, routers, firewalls with Intrusion Prevention and Detection System. The robust technology infrastructure enables the Exchange to operate efficiently and also facilitates fast order routing, immediate trade execution, trade reporting, market data dissemination, risk management and market surveillance. MSE’s trading system has gained greater acceptance among the traders and investors, with its user friendly functionalities coupled with sound architecture to cater to the Exchange system requirements. The systems and processes of the Exchange are designed to safeguard market integrity and to enhance transparency in operations. Since the Exchange has implemented interoperability framework, the trades executed at MSE can be settled at designated Clearing Corporations. The Surveillance system of the Exchange has capability to generate alerts, with the user configurable thresholds, to trigger any unusual trading trends and has all capacity to ensure that the security watch systems and reports/investigations are efficiently done in line with the norms specified by SEBI.

Further, the Exchange is committed to ensure continuous improvement in Member Satisfaction and to serve its Members with a better technology in the time to come. The Exchange is committed to bring world class technology. The online trading system of the Exchange is accessible to its members through any location across the length and breadth of the country through multiple modes of connectivity such as Multi-Protocol Label Switching (MPLS), colocation and Internet. The IT components are hosted in a state-of-art data centre that is designed to support mission critical operations. The data centre and all its components are monitored 24 x 7.

MSE maintains a Disaster Recovery Site (DRS) at a different seismic zone and a Near Site near its Primary Site. As per SEBI directive and industry best practices, MSE is committed to achieve minimal data loss (near to zero data loss) by implementing state-of-the-art DR solution. Data is being replicated on a real-time basis from Primary Site in Mumbai to the Near Site as well as DR Site. Data synchronization between Primary Site and Near Site is synchronous & between Primary Site to DR site is asynchronous. The Recovery Time Objective (RTO) and Recovery Point Objective (RPO) of the Exchange are 45 minutes and 15 minutes respectively for all critical systems like Trading, Surveillance, Risk Management etc. Periodic mock tests and half yearly unannounced live trading from DR site for two consecutive days are done to ensure proper functioning of DR systems.

The Exchange provides Real-time price information to interested parties through “Data feed” service of the Exchange. The Exchange also provides the delayed data feed free to cost to the data feed vendors. Data feed contains information relating to Products traded on the Exchange platform.