The duopoly of the capital market the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) might be likely over very soon, with the beginning of operations and trading of a new exchange known
as the Metropolitan Stock Exchange (MSE) in the next two-three weeks, according to a CNBC-Awaaz report.
This marks a momentary shift, allowing equities a new option to list on the exchange other than NSE and BSE.
According to CNBC-Awaaz, MSE is considering a comprehensive liquidity enhancement scheme to avoid liquidity issues in the initial days. For that purpose, it will reportedly appoint market makers to provide liquidity support for approximately 130 stocks.
The Bombay Stock Exchange (BSE), established in 1875 and known as Asia’s oldest stock exchange, currently holds a relatively smaller share of India’s capital markets. In the cash segment, BSE accounts for around 8–10 percent of the market, while in stock futures and options (F&O), its share is close to 5 percent. In the index F&O segment, however, BSE has a stronger presence with about 20 percent market share.
The National Stock Exchange (NSE), which was launched in 1992 and began operations in 1994, dominates trading activity across segments. NSE holds nearly 90–92 percent share in the cash market, around 95 percent in stock F&O, and close to 80 percent in index F&O, reinforcing its position as the country’s largest exchange and a key pillar of India’s modern electronic trading ecosystem.
