BSE Ltd. is India's largest stock exchange with over 5,000 listed companies and a market capitalization of over USD 1,094 billion. It is the world's 3rd most active exchange in terms of number of transactions. BSE offers the lowest connectivity and trading costs compared to other Indian exchanges. It provides various free services to members including co-location servers, the Fastrade on Web trading platform, back-office software, and an online mutual fund platform. BSE aims to create lasting liquidity in its derivatives segment through various incentive programs for market makers and participants.

1. BSE Ltd.
Creating a better liquidity Venue

2. Credentials
 Largest no. of listed companies in the world - over 5000
 Over 250,000 locations with trading terminals connected
through 2700 Lease Lines, 1800 VSAT terminals spread over
400 cities
 Number of member brokers – over 1400 as of Aug 2012
 Market capitalization of companies listed on BSE is over USD
1094 Billion (July 2012)
 Total average daily turnover ~ USD 8.7 Billion
 World’s 3rd most active in terms of number of transactions*
 Avg. Number of orders per day – 43 million; Avg. number of
trades per day – 1.2 million (July 2012)
 Won NASSCOM - CNBC-TV18’s IT User Awards, 2010 in
Financial Services category
 Won Responsibility Award (CSR), by the World Council of
Corporate Governance in 2007
2
* Source : World Federation of Exchanges

3. Did you know this?
 BSE is the 3rd most Liquid exchange for Index Options as of 31st August 2012
– World Federation of Exchanges
3
* Source : World Federation of Exchanges
Index Options
Rank Exchange
* No of Contracts Traded (August
2012)
1 National Stock Exchange of India 66 359 441
2 Korea Exchange 60 601 943
3 Bombay Stock Exchange 32 491 306
4 EUREX 31 716 954
5 Chicago Board Options Exchange 23 405 527
6 TAIFEX 7 939 862
7 CME Group 4 306 667
8 Osaka SE 4 023 533
9 Tel Aviv SE 3 850 742
10 MICEX / RTS 3 295 370

4. Membership comparison
4
# Particulars BSE
MCX-SX upto
18/10/12
MCX-SX from
19/10/12
NSE
Rs. In lacs Rs. In lacs Rs. In lacs Rs. In lacs
1 Admission fees (Non-refundable) 0.05* 10 10 5
2
Membership deposit (Equity Cash
Segment)
10 10 20 125
Membership deposit (Equity F&O
Segment)
Nil 10 20 25
Membership (Wholesale Debt
Market)
Nil 10 10 50
* 2.5 Lacs if applying for cash only membership

5. Huge savings on trading Options at BSE
5
Options Trade at BSE Trade at Competing Exchange A Trade at Competing Exchange B
bps bps bps
Sell Options
Securities Transaction Tax -1.70 -1.70 -1.70
SEBI Fees -0.01 -0.01 -0.01
Exchange Fee 0 .05 -5.00 -2.50
Buy Options to Square off
Securities Transaction Tax 0.00 0.00 0.00
SEBI Fees -0.01 -0.01 -0.01
Exchange Fee 0 -5.00 -2.50
Net outflow -1.77 -11.72 -6.72
Save 99% of
your cost!

6. Huge savings on trading Futures at BSE
6
Futures Trade at BSE Trade at Competing Exchange A Trade at Competing Exchange B
bps bps bps
Sell Futures
STT -1.7 -1.7 -1.7
SEBI Fees -0.01 -0.01 -0.01
Exchange Fee 0 .05 -0.19 -0.12
Buy Futures to Square off
STT 0 0 0
SEBI Fees -0.01 -0.01 -0.01
Exchange Fee 0 -0.19 -0.12
Net outflow -1.77 -2.1 -1.96
Saves 28% of
your cost!

7. Connectivity cost comparison
7
VSAT NSE Amount (Rs.) BSE Amount (Rs.)
Interest Free Security
Deposit
1,00,000 Nil
Annual Recovery
Charges
36,000 48,000
Installation Charges 17,750 Nil
Leased Line - 200 msgs/sec or 2 Mbps NSE Amount (Rs.) BSE Amount (Rs.)
Annual Recovery Charges inclusive of Router
Charges
5,00,000 3,00,000
Interest Free Security Deposit 5,00,000 Nil
Last Mile Charges As per the rate card Nil
Installation Charges (Charges vary depending
on the service provider)
Up to 15,000 20,000
Hardware (modem) Rent 10,000-20,000 Nil
In addition, Members can opt for connectivity via our PoP with primary link at Rs. 1,51,000 and secondary link only at Rs. 61,000
BSE PoPs are present in Delhi, Kolkata, Chennai and Ahemedabad
Leased line(within
Mumbai)
NSE Amount (Rs.)
BSE Amount
(Rs.)
Interest Free
Security Deposit
1,00,000-5,00,000 Nil
Annual Recovery
Charges
50,000-5,00,000 40,000-48,000
Installation Charges Up to 15,000 4,000

8. Membership Fee & Deposit structure of Exchanges
Exchanges Segment Membership Type Deposit in Lacs
Admission
Fee
Processing
fees
Annual
Subscription
MCX- SX
Equity SCM 10 Lakh
10 Lakh 10,000 50,000FO TM/SCM/TCM//PCM 10/10/10/10 Lakh
WDM SCM 10 Lakh
NSE
Equity SCM 125 lakh
5 lakh 10,000 1 lakhFO TM/SCM/TCM/PCM 25/25/25/0 lakh
WDM TM & SCM 50 lakh
NSE - Alpha
(Only Prop
Trading)
Equity SCM 20 lakh
0 NA NA
FO FO 25 lakh
BSE
Equity SCM 30 lakh
5,000 1,000 25,000FO TM/SCM/TCM/PCM 0/0/0/0
WDM SCM 0

9. Market-share comparison (Derivatives)
9
0.00
200,000.00
400,000.00
600,000.00
800,000.00
1,000,000.00
1,200,000.00
1,400,000.00
1,600,000.00
1,800,000.00
Nov/11 Dec/11 Jan/12 Feb/12 Mar/12 Apr/12 May/12 Jun/12 Jul/12
Avg Daily Turnover (Rs. millions)
BSE Derivatives - Avg Daily Turnover NSE Derivatives - Avg Daily Turnover
1% 2%
4%
17%
8%
17%
21%
25%
29%
BSE mkt share

10. Products & Services – Creating Value
3
10

11.  Colocation racks and servers – Provided FREE of cost to members trading in derivatives
 BSE provides co-location services within their premises. 40% capacity already leased out.
 BSE does not impose any restrictions on the type of activity (algo trading or otherwise) on
firms locating servers within the BSE Co-lo facility.
 BSE allows both third-party providers and members access to the facility
 Netmagic, offers Co-location facilities to all BSE members and technology/data vendors.
Integrated data feeds provided from Thomson Reuters – “Elektron”
 Services offered at the co-location facility
– dedicated hosting services,
– Security Services
– Connectivity : program management,
provisioning and management
– Internet Bandwidth
Co-location
11

12.  BSE’s hosted access solution for market-participants : Fastrade on Web. Allows access to members and
investors via internet and other connectivity mediums without having to own server and fixed line
infrastructure
 Members can use FOW to trade on BSE and NSE
 Steadily becoming the terminal of choice for accessing BSE cash and derivatives segment
 1000+ members accessing FOW daily
Fastrade on Web (FoW) – provided free to all members

13.  Access all BSE segments
 No server infrastructure required
 Clients can get a light-weight mobile app
 Compatible with most handsets and networks
 No Audit required (Exchange hosted)
 Completely Free of cost
 Integrated admin and RMS via FOW
FASTRADE on Mobile for BSE – provided free of cost
Retail segment constitutes a third of the trading volume at BSE. In order
to allow broader participation; we introduced access to BSE over the
ubiquitous mobile handset

14. SPARK Back-office software – provided free of cost
14

15. StAR MF : Web based mutual fund platform
A web-based order routing system
• BSE StAR MF is a web browser-based fully automated online MF order collection and processing system
System Flexibility
• Feature-rich and highly flexible electronic order platform – easy and simple to use
• Creation of multiple Branches and multiple Dealers (IDs)
• Simple UCC process: Every client has to be registered in system before entering orders
• Manual entries + Bulk uploads for every function
• Branch, Dealer & Client level order-limit (in-built risk management for brokers)
Purchase & Redemption
• Platform for collection of Purchase/Redemption orders for those MFs that desire so – in addition to
present distributor system. Thus demat as well as physical applications accepted
SIP through BSE StAR MF
• Easy to use : Auto generation of order by BSE STAR MF system based on SIP registration done by broker
Order Routing hours
• Existing NAV norms (cut-off at 3pm) to apply; timings are extended for NFOs at request of AMC

16. 16
 StAR MF launched its highly successful product of Systematic Investment Plan or SIP in Dec
2010
X-SIP
 BSE has decided to offer an end-to-end product to distributor/broker that would emulate
the offline convenience while retaining the obvious advantages for AMCs (immediate cash
collection, demat unit credit etc.)
 This product is named X-SIP (handled by eXchange)
 According to this facility the BSE will take care of the mandate registration, SIP registration,
SIP administration, installment collection and remittance of same to AMC on behalf of
distributors
Process Flow
 Distributor will obtain bank mandate from client (uniform format is available in Notice and
on platform under Downloads) where inter alia brokerage to be paid if any, can be
collected along with SIP installment
 Mandate will be registered by broker in BSE StAR MF system and dispatched to BSE
 Physical receipt of mandate at BSE will be recorded in system and mandate passed on to
vendor.
Launch of unique X-SIP facility

17. iBBS – BSE’s IPO bidding platform
 Effective monitoring of bidding centers (sub-syndicate members and sub users)
 Simplified Bid Entries Screens
 Faster File Upload/Batch Upload
 Viewing Order Book on Real Time Basis
 Modification and Cancellation of Bids (manually and in batches)
 T+1 Modifications
 Printing Transaction Slips
 Downloading banks / member reports viz, bid book, T+1 etc
 Viewing Bid Statistics via Graph
 Receiving issue updates from BSE in real time “NEWS”
 eASBA Bulk forms for IPOs / FPOs

18. Introduction to LEIPS
 BSE LEIPS was initiated in September 2011, in order to create lasting liquidity in
BSE’s equity derivatives segment
 Current focus of the on-going phase is to bring liquidity in index products such as
SENSEX and BSE-100
 The programme invites participants to empanel either as a Market-Maker (MM)
or a General Market Participant (GMP)
– MMs have obligations to quote and maintain spreads, whereas GMPs have no
obligations
– MMs avail a higher incentive, on achieving obligations.
 For all participants, the transaction charge has been made zero for passive orders
and 0.05bps for active orders
 Incentives are paid on a daily basis
 Co-location racks, servers and algorithmic software provided free of cost
18

19. Introduction to BSE -100
 BSE-100 is BSE’s new Broad based index – covers 71% of market capitalization
 Currently trading at 5300 levels
 Correlation with NIFTY – 0.994
 Correlation with MSCI India index – 0.996
 Correlation with SENSEX – 0.993
 Futures and Options of BSE-100 have been launched
 Avg Daily trading vol for BSE-100 futures is at Rs. 120 Crore
 Avg Daily trading vol. for BSE-100 Options is at Rs. 32,000 Crore
 Attractive Incentive Programme on BSE-100 Futures and Options – LEIPS 6
0
500
1000
1500
2000
2500
3000
3500
Rs.millions
BSE-100 Futures Trading Volume
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
Rs.millions
BSE-100 Options Trading Volume

20. • Equity –only exchange offering 5000 listed companies
• Equity Derivatives
• Cash Future Spreads
• Securities Lending and Borrowing
• ETFs
• Debt
• Mutual Funds
• Currency Derivatives (via affiliate – USE)
• Power (via affiliate – NPEX)
Secondary Market
• IPOs / FPOs and Rights Issues
• Institutional Placement Programme (IPP)
• Reverse Book Building (RBBS)
• Offer For Sale (OFS)
• Mutual Funds and Bonds
• Structured Products
Primary Market
Product Access at BSE
20

21. Other Products
• Hang Seng
• FTSE/JSE Top 40
• MICEX
• Ibovespa
Global Indices : Trade
Rupee denominated
futures on
• Over 30 Exchange Traded Funds
• ETFs accepted as collateral towards trading
ETFs
• Government Securities
• Corporate Debt
• Structured Products
• Pvt Placements
Debt Market
Products
21