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NSE To Introduce Trading In Interest Rate Options From Dec. 9
Move aimed at providing an efficient tool for managing interest rate risk and exposure through hedging.
08 Jan 2020, 07:52 PM IST 
A photograph taken outside the NSE Building in Mumbai. (Source: BloombergQuint)
Leading stock exchange National Stock Exchange said it will introduce trading in interest rate options based on government securities from Dec. 9.
The move is aimed at providing an efficient tool for managing interest rate risk and exposure through hedging.
"Exchange shall introduce interest rate options with effect from Dec. 9, 2019," NSE said in a circular.
Interest rate options are financial derivative contract whose values are based on rupee interest rates.
Rival bourse BSE launched trading in interest rate options based on government securities in August this year.
The two bourses had launched interest rate futures in 2014.
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