The Pros & Cons of Investing in Listed Stock Exchanges
ET Intelligence Group: Five years after MCX, a commodities exchange went public, the country’s two stock exchanges are headed for a listing . Though some capital is needed to grow a stock exchange business, it is not the reason for listing as both IPOs are offers for sale with no money being infused into the business. NSE as well as BSE have been generating sufficient cash flows from their operations and their dividend track record has been fairly generous.
Wh i l e S e b i (Stock Exchange and Clearing Corporation) Regulations 2012 consider stock exchanges as deemed listed companies, actual listing will bring in further transparency in the functioning of these key constituents of financial market infrastructure and improve internal compliance of these regulatory bodies.
PUTTING ON WEIGHT