Академический Документы
Профессиональный Документы
Культура Документы
March 2017
Board & Management Team
Major Shareholders
State Bank of India 4.06% MCX Ltd 13.82% Mr. Radhakrishnan Damani 4.94%
Union Bank of India 3.02% Trust Capital 4.96% Mr. Rakesh Jhunjhunwala 4.96%
Bank of Baroda 2.33% AADI Financial 4.06% Mr. Viral Parikh 4.04%
Punjab National Bank 2.08% Edelweiss 2.38% Mr. Kalparaj Dharamshi 3.88%
Strengths Opportunities
Weaknesses Threats
Equity Derivatives 75% Largest product segment. Dominated by one Exchange can create own products. Revenue pie
player with 99% market share. Liquidity creation is is biggest
a challenge in existing products
Equity Cash 8% Dominated by one player with 95% market share. Revenue potential medium. Value proposition
Lack of value proposition for Corporate Listings limited.
Currency Derivatives 10% Oligopolistic industry structure. Regulatory control Relaxation in OI norms. Cross Currency, Weekly
maximum. Product differentiation not possible. Options
IRFs 0.5% Nascent stage of growth. No dominant player in Banks, Corporate, MFs and Insurance companies
India. Is the largest traded product globally. can use IRFs to protect their bond portfolios.
Corp Bond Trading 3% Equal market share between players. Penetration More than INR 6 lac crore of annual bond
low. issuances. Growing at 15%-20%.
G-Secs 3.5% Banks with their SGL structure are a roadblock. Savings bonds are an opportunity
ETFs -- Currently low product differentiation . Passive Commodity ETFs, Debt ETFs
products.
Start Up Trading -- No exchange traded platform currently available Start Up eco-system for listing, fund raising and
trading
MSEI Product Positioning
More than 30000 startups in India. 15% of them are viable 4500. Listing fee and
Start Ups
transaction charges are attractive opportunities
Strategic Thrusts
Latency/
Members Trading
Software
Liquidity
Brand Products
Strategic Thrusts
Ease of Operations
Technology
Operational ease for membership
The entire eco-system of latency, processes, margin requirements,
brokers connectivity, trading trading and surveillance, clearing and
applications is being revamped settlement is being revamped.
All these to
Brand
Products
lead to
Defining Brand Identity, improved
Launching products in Debt in Apr/May. Establishing service markers
Equity Derivatives in Sep/Oct. followed by Branding campaign liquidity in
launch in Apr/May.
IRF and Currency ramp up from March onwards. trading
Equity Block deals in Mar/Apr. segments.
Business Plan Roadmap
Currency Derivatives
Favourable Regulatory Environment Our Strategy
Globally interest rate derivative contracts have highest trading Introducing contracts for
volume. Early stage of growth in India. different tenures to build up the
yield curve
Outstanding size of corporate and government bonds is
INR.10,62,1000 cr. Launch Spread Trades in IRF
IRF can be used for hedging these portfolio. to boost market volume [low
margin, low risk / moderate
A 3x churn of the bond portfolio could lead to a market size of INR
reward trades with opportunity
31,86,3000 Cr
to trade on the yield curve]
Promote hedging of Bond
portfolios through IRFs
Introduce interest rate options
Business Plan Roadmap Phase One
Annual market volume of Bulk/Block Deals is over INR2,000,00cr De-linking trade margin from
settlement funds
MSEIs platform is ideal for equity bulk and block deals as it
provides most efficient execution in terms of price negotiation and Exchanges permitted to trade
100% quantity execution category has 1400+ stocks
comprising 90% of the market
This caters to specific needs of institutional investors and brokers
volume
and fills an important market gap
Lowest transaction charges for
equity trades
Business Plan Roadmap Phase One
Debt Trading
Opportunity Our Strategy
Equity Indices is the largest segment of exchange volume in India Develop indices which fill the
with nearly 75% of total exchange volumes gaps in the market
Only 2 indices garnering 95% of segment volume, which provides Launch derivative contracts
scope for new product development linked to the indices
Monopolistic market share of the leader at 99%, provides an Tie up with International
opportunity to new entrant with right products agency for creation and
maintenance
Existing 530 composite members provide a ready to go market
Subsequently, these indices
shall be the base for launching
ETFs linked to these Indices
Risk Factors and Mitigants
SEBI approvals are required for new Identifying product and service gaps in the
product approvals or creating a market, researched product inputs from
differentiated service offering vis--vis external and independent bodies and
competition. Delay or rejections could active engagement with regulator on
impact business estimates product need shall be our approach.
Risk Factors and Mitigants
Rs Cr
FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22
Particulars
Audited Audited Audited Estimated Estimated Estimated Estimated Estimated Estimated
Operating Income 91.08 34.02 21.75 20.94 35.82 59.63 82.13 105.59 136.12
Investment Income 18.75 10.49 7.37 5.70 6.45 7.91 9.66 12.69 17.51
Other 1.72 0.70 2.89 6.83 3.02 3.32 3.65 4.01 4.41
Total Revenue 111.56 45.21 32.01 33.46 45.29 70.86 95.43 122.29 158.05
Operating Expenses 188.08 90.97 57.87 49.18 49.88 51.31 58.96 67.18 76.19
Finance Costs 0.05 0.01 0.25 0.26 0.05 0.05 0.05 0.05 0.05
Business Promotion 55.79 0.11 0.36 3.64 4.00 5.08 6.18 7.35 8.45
Depreciation 22.17 14.24 13.99 13.97 15.00 14.05 12.41 12.59 13.06
Total Expenses 266.09 105.34 72.47 67.06 68.94 70.49 77.59 87.17 97.75
Profit/(Loss) (154.53) (60.12) (40.47) (33.60) (23.65) 0.37 17.84 35.12 60.30
Shareholders Fund 266.93 186.31 206.61 185.92 197.27 197.64 215.48 250.60 310.90
Statement of Assets and Liabilities
Particulars (Rs Cr) FY14 FY15 FY16 FY17 E FY18 E FY19 E FY20 E FY21 E FY22 E
Non-Current Liabilities 13.86 4.58 46.79 37.91 40.50 45.53 50.57 55.62 60.67
Current Liabilities 85.33 79.59 43.07 60.15 55.16 52.74 51.77 50.98 50.51
Total 366.12 270.48 296.48 283.97 292.93 295.91 317.81 357.21 422.08
Assets
Fixed Assets 92.89 83.13 69.86 65.00 55.00 45.95 38.54 30.95 22.90
Investments in subsidiary 12.80 12.79 57.79 81.59 81.59 81.59 81.59 81.59 81.59
Long term Loans and Advances 66.38 63.92 55.07 57.62 51.86 45.64 42.22 36.57 27.70
Cash & Cash Equivalents 158.17 91.96 76.79 73.95 97.22 114.52 145.82 196.20 274.45
Other Current Assets 35.88 18.68 36.98 5.81 7.26 8.20 9.63 11.90 15.44
Total 366.12 270.48 296.48 283.97 292.93 295.91 317.81 357.21 422.08
MSEIs Subsidiary MCCIL
Operate Clearing
Interoperability
MCCIL Custodians
For custody of collaterals
For settlement of institutional deals
Ecosystem
OTC Clearing
Depository
NSDL
RBI
CDSL
RTGS/NDS
Rs Cr
FY 14 FY 15 FY16 9M FY17
FY 14 FY 15 FY16 9M FY17