BSE brokers to approach PM, SEBI on trading hours extension
December 24, 2009
Brokers from the Bombay Stock Exchange (BSE) plan to take up the issue of extending trading hours with the prime minister, and the market regulator Securities and Exchange Board of India (SEBI).
The BSE Brokers Forum, which has a membership of over 550 brokers, has opposed the decision of advancing trading hours to 9am. The Forum is planning to submit its representation to the prime minister's office, the ministry of finance, SEBI, investor associations and other trade associations, it said in a release.
"The idea of doing this is just to keep them (government and regulator) informed about the worries of the brokers (if the decision to extend the market hours materialises)," BSE Brokers Forum chairman Bhanubhai Fozdar told PTI.
Early this week, the Forum had demanded that both the BSE and the National Stock Exchange (NSE) reconsider their decisions to commence trading from 9am, citing practical problems that could arise on account of early opening of these bourses.
The Forum would also meet the chiefs of both the bourses in a bid to convince them that the move has no clear benefit for market participants and retail investors.
Intense rivalry between the two leading bourses prompted both of them to advance their market opening to 9am from 4th January.
The Forum, citing a November survey of brokers, said that nearly 80% of the trading members of the BSE are against extension of trading hours.
"A national debate on these issues is necessary. This is a change which merits lot more thought and sensitivity than what has been given," the Forum said.