"Need a secure and reliable way to access your bank account? Look no further than Keybank login."

Two on DEXs

Two parties have responded to the Colombo Stock Exchanges call to admit trading members to its new debt trading, the DEX.
CSEs Senior Manager Marketing, Rajeeva Bandaranayake says over 20 firms picked up the prospectus, when the earlier deadline ended on April 30.rn

rnldblquote We have decided to extend the deadline by another month, as some applicants have called in asking for a few weeks time, dblquote Bandaranayake said.rn

rnHe declined to name the two parties, but said the two firms who are keen to sign up, have to pay up a Rs. 1 mn-joining fee, within six months of their application being accepted.rn

rnTrading members also have to put up the necessary hardware, which costs around Rs. 1 mn, at their own expense.rn

rnTrading members are second tier brokers, with access limited to dealing in corporate debt and government securities.rn

rnProspective members need a minimum Rs. 25 mn capital and the capacity to develop clientele for debt securities.rn

rnFor a Rs. 1 mn licence fee, the DEX offers scripless trading, Delivery versus Payment (DVP) settlement, exposure based risk management, multiple settlement cycles, facilities for REPO & Reverse REPO transactions, online market information and post trade transaction information. rn

rnThe Rs. 50 mn system, which starts off in June, also supports the use of Internet based trading technology. rn

rnMarket players have the option of participating as a debt dealer or a debt broker to service both retail and institutional investors.rn

rnHowever, transaction and the licence fee will be waived for the first six months. Transaction fees are flexible, giving members the choice of opting for fixed or floating brokerage depending.rn

rnMost of the 15 stockbroking firms and parent companies of primary dealers are expected to go for a licence.rn

Notify of
Inline Feedbacks
View all comments
Would love your thoughts, please comment.x