The National Stock Exchange (NSE) on March 27, 2023, issued a circular regarding the revision in the ratios for conversion of USDINR 1 million equivalent with reference to Exchange circular no(s). NSE/SURV/29575 and NSE/SURV/37410 dated April 29, 2015, and April 03, 2018, respectively regarding the revision of limits relating to the requirement of underlying exposure in the Currency Derivatives segment.
The following are the revised ratio for conversion of USD 1 million equivalent:
• USD 1 million - EUR 0.93 million
• USD 1 million - GBP 0.82 million
• USD 1 million - JPY 132.45 million
The entities must ensure that the position across Exchanges is within the prescribed limit of USD 100 million equivalent. If the position is in excess of USD 100 million equivalent, clients must provide disclosure of underlying exposure to Trading Member as per existing practice. The entities have to ensure that their positions remain within the limit prescribed in para 5 of Exchange circular no NSE/SURV/29575 dated April 29, 2015.
The above ratios will be applicable from April 28, 2023, onwards. The conversion factor as provided in Exchange circular no. NSE/SURV/55002 dated December 27, 2022, shall continue to be applicable till April 27, 2023.
[Circular No: 192/2023]
