For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

BSE permits block deals for illiquid scrips

By Super
|
BSE permits block deals for illiquid scrips
Mumbai: Leading stock exchange BSE has allowed block deals for illiquid stocks trading in the periodic call auction sessions.
 

All illiquid scrips in the equity market are conducted only through periodic call auction sessions.

"Trading Members of the Exchange are hereby informed that Block Deals are allowed to be executed in the scrips trading in Periodic Call Auction Session through Block Deal Window (that is during the time period 9.15 am to 9.50 am)," BSE said in a notification on Friday.

"All other conditions for execution of bulk deals... issued by the exchange in the matter remain unchanged," the exchange added.

Illiquid stocks are those that can't be sold easily because they see limited trading. They pose higher risks to investors because it is difficult to find buyers for them, as compared to the frequently traded shares.

Securities are listed as illiquid if its average daily trading volume in a quarter is less than 10,000, the average daily number of trades is less than 50 in a quarter and is classified as illiquid at all exchanges where it is traded.

BSE and other bourses identify illiquid scrips at the beginning of every quarter and move such scrips to periodic call auction mechanism.

PTI

Read more about: bse illiquid stocks stock market
Story first published: Saturday, October 19, 2013, 14:10 [IST]
Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more