Page 24 - Bullion World Issue 1 May 2021

Bullion World | Issue 01 | May 2021

“ By conforming to its own

Good Delivery Standard, India
could soon emerge as the as
the price-setter instead of a
price-taker in bullion trade. ”

Within a short span of time since launch,
BSE has averaged INR 406 crores and Till date, BSE has executed seamless Apart from these steps BSE has
INR INR 2,610 crores of ADTV in Gold delivery if 19 KG of gold across all partnerships with India’s largest bullion
and Gold Mini contracts. In comparision contracts and in both LBMA and IGDS body - the India Bullion and Jewellers
to competetion, these represent a standards. BSE has also completed six Association (IBJA), Gem And Jewellery
marketshare of 32 percent among all full delivery cycles of Gold mini Council (GJC) and several industry
Gold contracts, and 69 percent among in ‘options in goods’ contracts, the only associations in Maharashtra, Bihar and
Gold mini contracts as on March 2021 – exchange to enable seamless delivery on Gujarat to educate the community about
a significant feat in less than one year. all months since launch. hedging and its benefits.

GOOD DELIVERIES AWARENESS INITIATIVES ROADMAP AHEAD
Deliveries constitute an integral part BSE has held several roadshows, BSE has also played a pivotal role in
of commodity segment at BSE. BSE seminars and now webinars to highlight the success of Sovereign Gold Bonds
became India’s first exchange to the superior hedging incentive of the Scheme of the RBI and the success of
comply by India Good Delivery Standard ‘options in goods’ contracts. In terms of Bullion Quanto products in GIFT city.
on its commodity platform by adoptingn costs, market participants can hedge BSE will continue to play a pioneering
Bureau of Indian standard (BIS) notified their price risks with only a small upfront role in the development of India’s Bullion
standards - IS 17278: 2019, for premium payment. Comparatively, in markets by constantly deepening the
delivery of gold and silver. This was in case of futures, there is a need to pay trading landscape with innovative
line with Prime Minister’s vision of “Make initial margin and additional margins products, enhanced price discovery,
in India” and “Atmanirbhar Bharat” of a based on positions and volatility. Even liquidity and transparency.
self-reliant nation. With this step, BSE in terms of other costs, the Commodity
wished to highlight its commitment and Transaction Tax for options in goods
priority towards own Good Delivery is negligible and trading on the BSE
Standard, and emerge as the as the platform is free of cost currently.
price-setter instead of a price-taker in
bullion trade.

Shri Sameer G. Patil Shri Sameer heads the Business Development of the
exchange including equity & equity derivatives, currency derivatives, commodity
derivatives, fixed income, debt and mutual funds. He is instrumental in setting
up and responsible for Business Development of INDIA INX at GIFT CITY
IFSC. Currently, INDIA INX has more than 90% market share. He is a board
member of INDIA INX Global Access (INDIA INXGA). He has about 21 years’ of
experience in financial sectors like Commodities, Currency Derivatives, Indices
etc and has experience in Trading, Hedging Strategies, Product Designing
and Business Development. He was associated with MCX since inception for
more than a decade as Senior Vice President – PKMT (Precious Metals) &
Business Development and K J Investors Services (I) PVT LTD, an affiliate of
Cargill Investors Services, Illinois, Chicago, USA as Senior Financial Analyst.
He is credited for successful launch of the flagship contracts on MCX the Gold,
Silver, WTI Crude Oil and Copper contracts. The Gold Petal contract launched
on April 18, 2011 was awarded as the Best Innovative contract of the year by
FOW Singapore. He is awarded the “India UAE business Ambassador of the
year 2018” at Abu Dhabi and was nominated for the

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