Q 1) What is Interoperability?
A) Interoperability is a mechanism that allows market participants to choose one clearing corporation to settle the trades, irrespective of the exchange where the trades are executed.
Further, kindly find below the example for your reference:
Client XYZ have carried on a buy transaction of 100 shares of ABC Company in NSE and have sold 100 shares in BSE, here, the net settlement for the day would be (Nil) 0 i.e. (100 – 100)
This is applicable only for rolling/normal settlement.
There is no change for the scrips which are settled on trade to trade basis (no netting).
Q2) Which clearing corporation Sharekhan has chosen for settlement
A) Sharekhan has chosen NSE Clearing Limited (NCL) as a designated clearing corporation for cash and F&O segment and Indian Clearing Corporation Limited (ICCL) for currency derivates segment.
Q3) What will be the brokerage and taxes applicable after implementation of Interoperability?
A) If a client has carried on a buy transaction in NSE and have sold in BSE, the trades will be considered as intraday transaction; hence the charges such as brokerage, STT and Stamp Duty will be applicable as per intraday rates. However the transaction charges will be applicable as per the respective Exchanges.
Q4) Are there any changes in the Portfolio report?
A) Yes, since buy in NSE and Sell in BSE will be treated as intraday trade, netting off will be considered in the Portfolio report.
Q5) what are the changes in Capital Gain report?
A) Positions netted off will be considered as intraday trade in Capital Gain report.
Q6) What will be the impact on Daily Margin Statement (DMS)?
A) The margin requirement and the available margin will be shown segment wise in the DMS statement.
Q7) What are the changes in DPSR report?
A) The exchange column will be removed in the DPSR report and single record for each scrip will be displayed.
Q8) What are the changes in Net position report?
A) The exchange column will be removed in the net position report and single record for each scrip at product level will be displayed. Clients can now square off their open positions in any exchange.
Q9) Any shares sold from DP if purchased in another exchange will there be a margin requirement?
A) No, purchase against DP sold stock across exchange will not attract extra margin. It will be adjusted against sales proceed.
Q10) Is Interoperability applicable for Big Trade product and will net positions be squared off even if it is zero across Exchanges?
A) Yes Interoperability is applicable for Big Trade product and any position(s) open at the product level , will be considered for square off in NSE (irrespective of exchange where position is open). In case the stock is listed on only BSE, the square off order will be placed in BSE.
Q11) Is Interoperability applicable for Big trade plus product
A) No, we are currently offering Big Trade Plus on NSE Equity Derivatives only.
Q12) Will there be two separate bills posted for NSE and BSE in ledger summary report?
A) No, one merged bill will be posted for NSE and BSE in ledger summary report.
Q13) Due to the interoperability, whether the client will be allowed to take further exposure, in case there is a continuous consolidated ledger debit balance beyond T+2+4 days?
A) No, the client will not be allowed to take further exposure in case of continuous ledger debit balance beyond T+2+4 days. The client would need to first clear the debit balance and then accordingly fresh buying can be allowed. Henceforth, selling in one Exchange and buying in the other Exchange will not be considered for taking further exposure beyond T+2+4 days till the ledger balance is cleared.
Q14) What settlement details should be written on Delivery Instruction Slip (DIS) for clients who are making payin of shares towards sell obligation?
A) NCL settlement number should be written on the DIS. The same settlement number is mentioned on the contract note.
Q15) Is there any possibility where the client can opt out of Interoperability?