NCCL Gets SEBI Nod To Function As Clearing Corporation For Next Three Years
NCCL was given the recognition to act as a clearing corporation for only one year on Sept. 27, 2018.
National Commodity Clearing Ltd., a wholly-owned subsidiary of National Commodity & Derivatives Exchange, has received Securities and Exchange Board of India’s nod to function as a clearing corporation for next three years.
NCCL was given the recognition to act as a clearing corporation for only one year and it commenced its operation on Sept. 27, 2018.
“SEBI has now granted renewal of recognition for a further period of three years ending Sept. 9, 2022,” NCCL said in a statement.
NCCL will continue providing secure counter party risk management and will guarantee settlement of trades executed on commodity bourse NCDEX trading platform, it added.
Speaking on the development, NCCL Managing Director and Chief Exchange Officer Rajiv Relhan said, “our well defined operating standards along with robust technology enables us to provide efficient, compliant and customer centric clearing services which can cater to any segment in the financial market”.
This is as per SEBI mandate that all the commodity derivative exchanges had to transfer the functions of clearing and settlement of trade to a separate clearing corporation by Sept. 28, 2018. Commodity bourse NCDEX had completed the process within stipulated period.