The Metropolitan Stock Exchange of India has rejected a report that said the market regulator—Securities and Exchange Board of India—had stalled its entry into equity derivatives, saying the article gave an inaccurate account of its regulatory position.
The exchange said it faces no restriction from the Securities and Exchange Board of India on launching approved products, including equity derivatives, and described the report as misleading.
The clarification comes after Reuters on Tuesday reported that SEBI had asked newer exchanges—MSEI and NCDEX to first build up cash market activity before allowing equity derivatives. Reuters report followed applications made by both exchanges late last year. In December, NCDEX and MSE separately sought SEBI's approval to launch equity cash segments and, over time, equity derivatives.
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Earlier developments had pointed to a strategic shift by MSE. In June 2025, NDTV Profit reported that the exchange was planning to enter the cash equities segment after SEBI introduced new norms on expiry days for derivatives contracts. People aware of the plans said at the time that MSE already had the required regulatory approvals and expected the move to take shape within two to three months.
"MSE respectfully yet firmly refutes the inaccurate portrayal of the MSE name in the article," the exchange said in a clarification dated Feb. 10.
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The exchange added it is fully operational and recognised by SEBI, with systems that meet regulatory standards. It rejected any suggestion that SEBI had imposed a gap or halted its derivatives plans. "We clarify that MSE, a recognised stock exchange by SEBI, is under no restriction from offering of any approved products including equity derivatives," the exchange said.
MSE said it continues to work on building liquidity in the equity segment and pointed to steps already announced. It cited a Jan. 27 press release that outlined initiatives such as appointing market makers to strengthen liquidity and depth in cash equities.
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