Introduction
January 9, 2017, brought a great day for Indian Market as Prime Minister Narendra Modi gifted India its first International Stock Exchange Market. This initiative of GOI has taken India a step ahead in the global stock market and it was a proud moment for all the Indian. In this article we will discuss the key points of INX because in the upcoming bank exams this will be the hot topic for discussion and one or two objective type questions will be surely based on INX.
Features of INX
1. Speed
It is world's fastest stock exchange in terms of response. The highly advanced technology based stock exchange will work on four microsecond response time.
2. Working Hours
To match the pace of global economy and stock market, INX will remain open for 22 hours a day.
The stock exchange will open at 4 am and will close at 2 am. This time span is matched with Japan and US's stock exchange time. Japan Stock exchange open at 4 am according to Indian time and US Stock exchange closes at 2 am according to Indian time.
3. Investment Targets
Bombay Stock Exchange has kept the target of investing 500 crores in the market within three years.
4. Employees
To function perfectly, the staff of BSE has relocated to Gujrat. 100 BSE employees have shifted to INX. There is a team of local and foreign personnel too.
5. Trading
INX will trade in securities and products along with Indian Rupee. It will indulge in the trading of equity shares of companies incorporated outside India, depository receipts, debt securities, currency and interest rate derivatives, index-based derivatives, commodity derivatives. For the first six months, it will offer only derivative products.
6. Security
To prevent money laundering and to manage risks and money manipulation, INX has a robust security system.
Tax Benefits
- The people who will invest via INX will get following tax benefits
- No income tax for fixed time span
- Low commodity transaction tax
- Beneficial for dividend distribution tax
- Renunciation in long-term capital tax
- Beneficial in Security Transaction tax
Fast Facts For Quick Revision
| Launched on | January 9, 2017 |
| Launched by | Narendra Modi |
| Situated in | Gandhinagar, Gujrat |
| Situated at | Gujarat International Finance-Tec (GIFT) City |
| Working hours | 4 am- 2 am (22 hours) |
| Response Time | 4 microsecond (fastest in the world) |
| Investment | 500 crores in 3 years |
| Products | Derivative Products: equity, currency 7 commodity |
| Tax Benefits for | transaction tax, distribution tax capital tax |
| Income Tax | No income tax for three years |
