Bombay Bullion Association (BBA), in a tie-up with Reliance Money (R-Money) and Bombay Stock Exchange (BSE), is likely to announce the launch of spot bullion exchange early next week.
The new spot exchange will provide trading platform for gold and silver to bullion traders. It will provide T+2 trading system for the physical trading of bullion (in demat form) and unit of trading will be kilo-bar, market sources said.
As FE had already reported early that if this proposal materializes, it will be the first spot bullion trading platform in the country under which spot trading will be carried out on electronic platform.
"It will give a fillip to the physical bullion trade in the country which is facing problems in areas of quality, benchmark price and lack of common trading system in the physical market," a director of BBA told FE.
BBA, having a member strength of more than 250, is a national-level bullion association which contributes about 75% of the national bullion trade in the country.
"Trading will be carried in a similar fashion like Gold ETFs traded at the domestic stock exchanges," another director of BBA said.
As per information available from the local bullion market, the association has signed a memorandum of understanding with R-Money for this proposal. As per the terms, BBA and R-money may include Bombay Stock Exchange (BSE) and IT People (IT Solution Company) for providing online trading platform for this venture.
BBA has already formed a special committee of five member, who are directors of the association, to finalize the proposal with its venture partners.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment