Short selling in India - Finally getting sensible?
Business Standard: NSE slashes margin in revised SLB scheme
In a move that will bring relief to arbitrageurs and traders, the National Stock Exchange (NSE) has slashed the margin for the revised stock lending and borrowing (SLB) scheme.
Good for turnover!
“Its clearing corporation will not levy the value at risk (VaR) and extreme loss margin (ELM) on the lender. Stock lenders would continue to pay the mark-to- market margin as well as 25 per cent of the lending price.
Thank god. Why does the person who owns the stock to being with have to put up VaR margin? Duh.
. . . the regulator had also asked the stock exchanges to increase the tenure of the scheme from seven to 30 days and increase the market timings from 9.55 am to 3.30 pm.
Good. Earlier it was 10am - 11am. Wtf?
Looks like the SEBI & NSE are finally getting their act together w.r.t. short selling.
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