India's NSE seeks SGX to delay stock futures

(Jan 19): The National Stock Exchange of India, operator of the country’s biggest bourse, is asking Singapore Exchange to delay the planned introduction of single-stock futures that would track some of the subcontinent’s largest companies, according to people familiar with the matter.

NSE’s request comes as domestic stock-derivatives volume has slipped, said the people, who asked not to be named because the talks are private. While SGX has informed some of its clients of a possible Feb 5 launch, subject to regulatory approval, NSE is seeking the delay to buy it time as it attempts to arrest the slide back home, the people said. India’s budget on Feb 1 may offer some incentives for exchanges and foreign investors, the people said without being more specific.

SGX and NSE have a licensing agreement that allows futures and options based on the benchmark NSE Nifty 50 Index to trade in Singapore, though existing products track indexes and sectors and not individual shares. The issue hasn’t stopped the two exchanges from discussing partnering on other matters, the people said.

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